Tata Motors Shifts JLR Assembly Focus To Chennai As Plants Run Full

By Jony Shekhawat | Published Date : February 06, 2026

The move comes as existing Tata Motors plants operate near full capacity, pushing the company to use its Chennai facility for initial assembly work.

Tata Motors has decided to start assembling Jaguar Land Rover vehicles at its Panapakkam plant near Chennai in the coming period. The move is part of the company’s plan to ease pressure at its existing factories. This update came during the company earnings call. The company did not tell which models will be made there. Officials only said that JLR vehicles will be assembled first.

Models Not Confirmed by Company

Table of Contents

1. Models Not Confirmed by Company

2. Plants Running Full, Space Is a Problem

3. Chennai Facility Starts With Assembly Only

4. India Important but Competition Is High

5. Trade Talks and Current Challenges

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During the call, company leaders clearly avoided talking about model names. They said it is early stage and plans are still being worked out. Right now, the focus is only on starting the assembly line.

Tata Motors said details like models, numbers and timelines will be shared step by step. For now, they are only confirming that JLR assembly will begin at Chennai.

Plants Running Full, Space Is a Problem

One big reason behind this move is lack of space at existing plants. Tata Motors said that most of its factories are already almost full and there is not much space left to increase production. That's why Tata trucks are highly popular.

Mr. Shailesh Chandra is MD and CEO of Tata Motors Passenger Vehicles. He announced that the company will use the entire Panapakkam land in the next few years. For now, the plan is to start only assembly work, as other plants simply do not have the space to expand.

Chennai Facility Starts With Assembly Only

In the beginning, the Chennai plant will only do assembly work for JLR vehicles. Later, capacity can be increased if needed. There is also a chance that Tata Motors may use the plant for its own passenger vehicles in the future.

Currently, JLR cars for India are assembled at the Pune plant through CKD route. When asked if Pune models will move to Chennai, the company said clarity will be given later. At this stage, only JLR assembly start is confirmed.

With the superior performance of the Tata brand, regular demand for Tata buses and strong use of the Tata Ace in small transport is increasing rapidly.

India Important but Competition Is High

This expansion shows that India is important for JLR's growth plans. Still, JLR is not leading the luxury brand in comparison to German brands like Mercedes-Benz and BMW. BMW is already close to selling about 20,000 cars annually, while JLR sales are still much lower.

JLR CFO Richard Molyneux said India matters a lot for the brand. He said the market has long-term value and the company plans to grow step by step, keeping India in its focus.

Trade Talks and Current Challenges

Company leaders were also asked about Indo-US and Indo-EU trade talks. They said it is too early to say anything about tariff changes. Any decision will depend on cost and long-term planning.

At the same time, Tata Motors is facing some short-term issues. The company reported exceptional provisions of ₹1,600 crore. This includes cyber incident cost at JLR, wage-related expenses in India, and demerger costs. Still, management remains confident. With operations getting stable again, steady work in Tata commercial vehicles.

Also Read: Ashok Leyland Partners with PT Pindad for Electric Buses and Defence Vehicles

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Frequently Asked Questions on Commercial Vehicles

Q1. Which Tata commercial truck is best for long-distance transport?

Ans. Tata heavy commercial trucks, like multi-axle models, are commonly used for long-distance transport due to better load capacity and highway performance.

Q2. Are Tata commercial trucks suitable for small businesses?

Ans. Yes, Tata commercial trucks are widely used by small transporters and local businesses because they offer reliable performance and easy maintenance.

Q3. What fuel options are available in Tata commercial trucks?

Ans. Tata commercial trucks are available in diesel, CNG, and electric options, depending on the model and usage requirement.

Q4. How is the service network of Tata commercial trucks in India?

Ans. Tata commercial trucks have a wide service and dealer network across India, which helps operators with easier servicing and spare parts availability.

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