Tata AutoComp and Škoda Group have announced a joint venture (JV) to manufacture railway propulsion systems and components in India. The agreement was formalized on July 9, 2025, and involves a multi-million-euro investment aimed at supporting India’s railway and urban mobility sectors.
The JV will focus on producing converters, drives, and auxiliary converters for medium- to high-speed trains, metro systems, and light rail vehicles. All manufacturing operations will be based in India.
The initiative builds on a memorandum of understanding signed in August 2023 and is aimed at localizing European railway technologies, reducing import dependency, and strengthening domestic production capacity for electric rail components. Škoda Group will provide its expertise in electric rail systems, while Tata AutoComp will contribute its experience in electric vehicle components and its prior involvement in railway projects, including Vande Bharat.
“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 of Tata AutoComp.
Petr Novotný, CEO and Chairman of Škoda Group, described the new joint venture with TATA AutoComp as a step toward expanding technological collaboration and supporting India’s growing rail infrastructure sector. He stated that the partnership aims to bring established European technology and experience to the Indian market. Novotný, who previously spent over three years in India as the regional head of Scania, is currently in his second year leading Škoda Group.
In August 2023, Tata AutoComp signed a Memorandum of Understanding (MoU) with Škoda Group to establish a framework for the strategic joint venture. This agreement laid the foundation for collaboration between the two companies in the rail infrastructure sector.
The present joint venture agreement was signed at an event in New Delhi attended by senior executives from both companies and representatives from the Embassy of the Czech Republic.
This partnership allows Tata AutoComp to diversify into the railway and metro sectors, while providing Škoda Group with access to India’s expanding public transport market. The JV is also expected to support local job creation and technological development by strengthening domestic supply chains.
TATA AutoComp operates 68 manufacturing facilities across India and has a global presence in North America, Latin America, Europe, and China. It manages 10 joint ventures with various international companies in the automotive components sector.
Škoda Group is part of the PPF Group, which operates in 25 countries and spans multiple sectors including finance, telecommunications, media, e-commerce, real estate, biotechnology, and transportation. Škoda began exporting locomotives to India in 1956, with the delivery of 50 YG class steam locomotives to Indian Railways. The company has continued exporting parts to India even after the collapse of the Comecon trade bloc in 1989.
