Mahindra and Mahindra Ltd. are in initial talks with their partner Ford Motor Co. to acquire a vehicle platform in which the Bombay-based company aspires to build a new electric sedan, said two people with a direct knowledge of the ” case. Instead of this platform, Mahindra will share its affordable electric vehicle technologies with Ford, which the US company plans to use in its entry-level cars such as Figo and Aspire, said these people on condition of anonymity . Ford in India has developed a Ka platform, in which he built cars such as the Figo and the sub-4-meter sedan. Ka + is a major derivative of Ka.
“Pawan Goenka, along with his colleagues from Mahindra Electric, inspected the platform by signing a partnership with Ford in September,” said one of the individuals mentioned above, in search of anonymity. Pawan Goenka is the managing director of Mahindra and Mahindra Ltd. “Ford will get the electric technology from Mahindra. So far, this is the only point of discussion in this direction,” he added. A spokesman for Mahindra refused to comment on the story, while a Ford spokesman said it was “too early to discuss” at that time. The two companies, on September 19, said they were exploring a strategic alliance to leverage the strengths of others to meet emerging challenges in the global automotive industry.
The agreement between the two companies will allow them to combine their mutual strengths during an unprecedented period of transformation in the automotive industry, companies said in a joint statement. Potential areas of cooperation include mobility programs, connected vehicle projects, electrification, product development, procurement and commercial efficiency, distribution in India to improve the reach of Ford and the emerging global markets to develop the Mahindra network. The second person familiar with the case said the two companies have started working to establish teams that will work closely in these areas.
The alliance appears to be on an equal footing with the Indian firm which is taking advantage of Ford’s advanced technologies and the global network and the American carmaker led by Bill Ford to win the lucrative Indian market. India is expected to become the second largest passenger car market in 2026 with an annual volume of 13.4 million units per year (if the local economy grows at an annual rate of 7.5%), according to the Indian government. While Mahindra will seek Ford’s support in markets such as Russia and South Africa, its immediate priority will be the space of electric vehicles, which it wants to dominate after having the “first-mover advantage” said an industry expert.
“If EESL’s recent offerings (Energy Efficiency Services Ltd) come to fruition, it is clear that other companies have already woken up. The race for electric mobility will depend on the variety and accessibility of a company said the expert, requesting anonymity. Mahindra lost its rival Tata Motors Ltd. for a government contract of 500 electric vehicles but later said it would match the lower offer of Rs10.16 lakh per vehicle manufactured by Tata Motors Ltd because it wanted be part of the mission of government mobility. Its own offer was Rs2.3 higher lakh by the vehicle. Mahindra will lose about Rs3 crore in the 150 electric sedans it will provide to the government. The government contract (state EESL buys on behalf of the government) for 10,000 vehicles in several phases could be too small for any company’s sales growth, but the frantic action around it has launched electric mobility in the country.