By TechThop Team
Posted on: 16 Aug, 2022
The time is right for Mahindra Group to enter electric vehicles, Chairman Anand Mahindra said. Between 2024 and 2026, the Indian auto major will launch five electric Sports Utility Vehicles
The company plans to introduce the first of five e-SUVs in Indian markets by 2024. Mahindra does not currently offer electric passenger vehicles. Nevertheless, it dominates the domestic electric three-wheeler market with over 70 percent share.
'As a result of government support, rapid lowering of ownership costs, and increased consumer awareness of environmental concerns, Mahindra believes now is the right time to enter the four-wheeler market with a battery electric vehicle range,' he said.
As a cornerstone of the company's global ambitions, Mahindra said the five electric SUVs represent the company's 'cornerstone assets'. According to Mahindra, British International Investment has already committed $250 million to Mahindra's electric vehicle venture.
A new electric vehicle arm of Mahindra & Mahindra was announced last month by BII. It is anticipated that the new electric vehicle company EV Co will have a total capital infusion of around $1 billion between FY24 and FY27.
The Mahindra INGLO platform will underpin all of the company's future EVs. Anish Shah, Mahindra Group Managing Director & CEO, said the new electric SUVs are in line with the company's core philosophy of providing customers with future-ready technology.
'The automaker expects to sell a quarter of electric SUVs by 2027. The company sold around 2.25 lakh SUVs in FY22. According to M&M Executive Director — Auto and Farm Sectors — Rajesh Jejurikar, the five electric SUVs provide a glimpse of the company's future.
'We aim to not only electrify the roads but also the hearts and minds of SUV fans in India and around the world,' he said. Mahindra Advanced Design Europe, which will serve as the conceptual hotbed for its EV portfolio, was formally inaugurated on Monday.
As of now, Tata Motors leads the domestic electric vehicle segment with its Nexon EV. Other mainstream EV models include Hyundai Kona and MG ZS. In addition, they have signed a cooperation agreement to explore future collaborations in the electric vehicle segment.
The companies have deepened their collaboration with INGLO, a new electric platform from a Mumbai-based automaker. With MEB components, five all-electric SUVs with a volume of more than one million units are planned.
The companies are also exploring additional collaboration opportunities, opening the possibility of a broader strategic alliance to accelerate electrification in the Indian motor vehicle market.
The term sheet includes all major commercial and technical terms and details on how the battery system could be localized. By the end of 2022, a conclusive and legally compliant supply agreement will be negotiated.
The next step toward a possible India strategic alliance involves exploring potential collaborations in e-mobility, including vehicle projects, battery cell localization, and charging and energy solutions for India's electric ecosystem, the companies said.
'With Volkswagen and Mahindra working together, India is a huge automobile market with ambitious climate protection goals,' Thomas Schmall, Volkswagen Group Chairman for Technology and CEO of Volkswagen Group Components, said.
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