Tata Secures Rights To Upgrade 2.0L Fiat Multijet Diesel Engine

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An agreement signed in the final quarter of the last financial year grants Tata Motors the ability to independently upgrade the Fiat 2.0L Multijet diesel engine

Tata Motors has secured development rights for the 2.0L Multijet diesel mill that has been powering the Harrier and Safari since their launch in 2019 and 2021 respectively. Previously manufactured under license from Stellantis via Fiat India Automobile at the Ranjangaon facility in Maharashtra, the powertrain will now fall under Tata’s control for further technical evolution.

The development eliminates the need for Tata to seek external approval for making adjustments to the engine, particularly those involving electronic calibration or emission tweaks. Under the earlier model, tasks such as reprogramming the ECU required approval and could incur costs reportedly reaching 10 million euros – an expense that restricted flexibility in variant differentiation.

An agreement signed in the final quarter of the last financial year grants Tata Motors the ability to independently upgrade the FAM B diesel engine. The arrangement, formalised through a Technology License Agreement with Stellantis, authorises Tata to carry out its own engineering modifications in alignment with future emission standards or internal performance goals.

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By gaining autonomy over its calibration and development roadmap, Tata is expected to pursue more efficient upgrade paths while managing cost pressures. Mahindra’s mHawk engine strategy, for example, has benefited from such in-house control, allowing the company to offer differentiated powertrains across its product range without incurring licensing penalties.

The move holds plenty of significance as the Multijet engine is known for its versatility as it has been used in multiple models such as Jeep Compass, MG Hector and Jeep Meridian and in different tunes by other brands in the past. Despite this operational independence in development, the production will continue to happen at Ranjangaon.

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Stellantis retains the intellectual property for the core architecture of the engine but the improvements initiated by Tata under the new license will fall within Tata’s purview. With a new 1.5L GDI turbo unit set to arrive soon, Tata will apparently widen its powertrain options in India. It also gives Tata a big opportunity to upgrade both the ICE Harrier and Safari.

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