Tata AutoComp Systems and European transport manufacturer Skoda Group have entered into a joint venture to manufacture railway propulsion systems and components in India, marking a significant move to tap into the country’s rapidly expanding railway and mobility segment.

The collaboration involves a multi-million-euro investment, estimated to be over Rs 100 crore, according to a joint statement reported by PTI. This strategic partnership will focus on producing critical components such as converters, drives, and auxiliary converters for medium to high-speed trains, metro rail, and light rail vehicles. Manufacturing operations will be based in India, and the venture is expected to generate economic and technological benefits, including local employment creation and skill development.

Tata AutoComp, a key player in the electric vehicle (EV) component industry, said the partnership aligns with its goal of expanding into new mobility sectors. “Our collaboration with Skoda Group is set to enhance our footprint in the Indian Railway and Metro sector by enabling the introduction of state-of-the-art electrical propulsion systems and components,” said Arvind Goel, Vice-Chairman, Tata AutoComp. Skoda Group’s CEO Petr Novotny added, “Together with Tata AutoComp, we are bringing advanced technology and expertise to India.”