Stellantis Takes Full Ownership of Thiruvallur Plant, Targets 43,000 Plus Units by 2028

Stellantis has acquired HMFCL's remaining stake in Stellantis Automobiles India Private Limited, giving the group full ownership of its manufacturing operation at Thiruvallur in Tamil Nadu. The company says the transaction was funded through foreign direct investment. For Indian buyers, the immediate product line does not change, but control of the plant, future investment decisions and the pace of production planning now sit under one owner.

What has changed at the Thiruvallur plant?

The transaction simplifies the ownership of the facility that produces the Citroen C3, e-C3, C3 Aircross and Basalt. Stellantis says localisation at the plant is already above 95 percent. Full ownership can remove a layer from decisions involving capacity, supplier planning, exports and model allocation, although the company has not promised any immediate change to vehicle prices or dealer availability.

Production target: 16,000 units to more than 43,000

Stellantis has outlined a sharp production ramp. Output is expected to rise from about 16,000 units in 2026 to more than 43,000 units annually by 2028. That is a company target, not a completed capacity milestone. Achieving it will depend on demand, exports, supplier readiness and the product plan for India.

The direct workforce is also projected to more than double from 610 employees in 2026. Stellantis says it has invested more than EUR 1 billion in India, described locally as close to Rs 11,000 crore. These figures matter because the Thiruvallur announcement is not only a change in shareholding; it accompanies a stated plan to expand output and employment.

Why full ownership matters

• Faster governance: one owner can approve manufacturing and sourcing decisions without joint-venture alignment.

• Deeper localisation: the plant already claims more than 95 percent localisation, giving Stellantis a strong base for cost control.

• Export flexibility: additional output can support both Indian demand and export allocation if the business case holds.

• Employment growth: the workforce target links the corporate transaction to a tangible local economic outcome.

What it means for Citroen in India

Citroen's challenge in India has not been a lack of distinctive products; it has been building scale, reach and sustained showroom momentum. The Thiruvallur plant can supply several locally developed models, but higher factory output will only translate into growth if dealer coverage, after-sales confidence and product positioning improve alongside it.

Full ownership gives Stellantis more direct control over this equation. It can align plant utilisation, model life cycles and export plans more tightly. It does not, by itself, guarantee higher retail sales. The more useful signal will be whether new variants, stronger distribution and production growth arrive together over the next two years.

Key takeaways

Stellantis now fully owns the Thiruvallur manufacturing operation; the plant builds four Citroen nameplates with more than 95 percent localisation; annual output is targeted to exceed 43,000 units by 2028; and the direct workforce is expected to more than double from 610. All forward-looking figures remain company targets.