India’s Tata Motors is taking over the Iveco Group for €3.8 billion. FPT Industrial, which builds engines, powertrains and front axles for tractors and other agricultural and construction machines, is part of the deal.
India’s Tata Motors is taking over the Iveco Group for €3.8 billion. FPT Industrial, which builds engines, powertrains and front axles for tractors and other agricultural and construction machines, is part of the deal.
The change of ownership is unlikely to raise too many eyebrows in the farming community, but with 36,000 employees, 19 global production sites and 31 R&D locations, Iveco is a major acquisition for India’s largest truck and bus manufacturer. Tata Motors is also among the top three in passenger vehicles.
Iveco was part of CNH Industrial until January 2022, when it was separated and has since operated as an independent company. In addition to FPT, Iveco also manufactures commercial vehicles, trucks and mining vehicles.
With around 8,000 staff located across 10 global production sites and 11 R&D centres, FPT reckons to make 100,000+ engines (F5, F28, V, NEF and Cursor) a year. Main agricultural customers listed on the company’s website are the CNH brands (Case IH, New Holland and Steyr), Argo Tractors (Landini and McCormick), Antonio Carraro, BvL, Claas, Hattat, Horsch, Irum and LS Mtron.
The merger of Iveco Group and the commercial vehicle business of Tata Motors creates a giant that produces 540,000 commercial vehicles a year with an anticipated annual turnover of around €22 billion. Half of this will be generated in Europe. The rest will come from India, the Americas and emerging markets in Asia and Africa.
The deal excludes Iveco’s defence business, which has just been sold to Leonardo for €1.7 billion. Iveco Group headquarters will remain in Turin (Italy) and the acquisition is expected to be completed sometime Q2, 2026.
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