Italian car giant Fiat announced on Tuesday a co-operation deal with Indian manufacturer Tata to produce cars, engines and gearboxes at Tata's Ranjangaon plants in India. Fiat and Tata would also examine possible expansion in Latin America.
"The plants, all at Ranjangaon, when running at full capacity, will produce more than 100,000 cars, and 250,000 motors and gearboxes," the Turin-based company said in a statement. As well as the Indian deal, Fiat and Tata have agreed to examine possible industrial and commercial co-operation in Latin America, the statement said. The companies signed a letter of intent on a 60-day feasibility study to examine the market, it said.