Tata taps China’s Chery for premium EV push
Tata Motors plans to license a car-making platform from China’s Chery, four people familiar with the matter told Reuters, as the carmaker tries to get its shelved premium electric cars back on track.
Tata told Reuters in a statement that it will use the Freelander platform produced at a joint venture between Chery and Jaguar Land Rover (JLR) in China, with the cars being built at its newly opened plant in Tamil Nadu, southern India.
While Chinese automakers remain largely shut out of the world’s third-largest auto market, their technology is quietly hard to avoid as local manufacturers rely on it to stay competitive in the global EV race.
Tata, India’s largest electric car maker, will use the Chery platform to locally produce electric cars under its premium Avinya brand, with plans for at least two cars, the first of which will be launched in 2027, three of the people said.
The strategy represents a pivot from Tata’s original plan to use JLR’s electrified modular architecture (EMA) for Avinya models due in 2025. That plan collapsed last year when JLR shelved plans to build EMA-based electric cars in India, forcing Tata to reset, Reuters reported earlier.
The Chery platform deal is expected to make up for lost time and give Tata access to advanced features and technologies that would otherwise take longer and more capital to develop, the people said.
The first Chery-platform Avinya model is due in 2027 and will be shipped from China as a kit and assembled in India, the two people said, with efforts to source localized components already underway. A second electric car is expected to be launched in 2029, with room for two more vehicles, one of them said.
“Avinya is being developed as a global premium brand. Our collaboration with JLR and its partners will be an important pillar in our global premium EV journey,” Tata said, adding that the deal will deliver the desired offering for its large-scale luxury EV segment.
Chery told Reuters in a statement that its deal with Tata builds on the success of its collaboration with JLR.
“Chery will act as a passenger vehicle supplier to Tata Motors. Each project operates under its own separate contract with standard business terms,” the Chinese automaker said.
JLR tapped Chery, a longtime partner, to develop and manufacture electrified cars, including EVs and hybrids, under its resurrected Freelander brand. The cars will be based on the Chinese company’s architecture and will be manufactured at its factory in Changshu.
The Chery deal is a “stop shop” because without fresh products, Tata risks losing its lead in EVs, one of the people said, adding that the company still intends to develop its own niche platform over time. All the people declined to be identified because they are not authorized to speak to the media.
Indian companies rely on Chinese technology
Electric models account for 14% of Tata’s total sales, with a target to more than double this to 30% by 2030. However, rivals Mahindra & Mahindra and JSW MG Motor are closing in on its lead, exposing gaps in the EV offering and raising the risk of further market share losses.
The deal talks reflect a broader shift underway in the domestic auto industry. Indian automakers are increasingly importing Chinese electric car technology, avoiding deeper ownership partnerships due to political sensitivities.
As of 2020, New Delhi has imposed strict restrictions on investment from neighboring countries focused primarily on China, effectively freezing large-scale participation in the auto industry. While restrictions in sectors such as electronics have eased slightly, automakers still face high hurdles.
JSW Motor, billionaire Sajjan Jindal’s independent car manufacturing venture that makes steel for cement, also has a similar platform licensing deal with Chery.
Indian automakers have increased their spending on research and development of new technologies and powertrains in recent years, but like many global peers, they have been unable to match China’s speed, price and technical prowess in electric cars.
Chery, China’s largest car exporter, has rapidly expanded its global footprint. Taking inspiration from Toyota and Tesla, the Chinese automaker has pursued joint manufacturing agreements with foreign companies in key markets, including Europe, Southeast Asia and Latin America.
Published – 03 Jun 2026 14:53 IST