Mahindra aims to lead electric SUV sales in India with the new EV unit. | Tech US News

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NEW DELHI, July 8 (Reuters) – India’s Mahindra & Mahindra ( MAHM.NS ) aims to lead sales of electric sport utility vehicles (SUVs) in the country, its CEO said on Friday, the automaker’s A day after the money was collected for him. New electric vehicle (EV) units valued at $9.1 billion.

Mahindra and British International Investments (BII) said late Thursday that they will invest up to $250 million each in an EV unit that will focus on four-wheeled passenger electric cars. Read more

The Mumbai-based company sells some of India’s most popular combustion engine SUVs, including the Scorpio and Thar, and now plans to dominate the EV sector with similar models.

“We are very confident that we will lead this space,” Mahindra Chief Executive Officer Anish Shah said during a press briefing.

“This is not just an investment. It is also a starting point. We will bring in more investors at higher prices as we go forward,” he said.

Mahindra is the latest Indian carmaker to use global green funds by hiding its clean mobility business in a separate unit, taking a page from the playbook of rival Tata Motors ( TAMO.NS ), which last year won TPG’s Raised $1 billion from the Rise Climate Fund. Valued at about $9.1 billion. Read more

The move comes as companies look to take advantage of billions of dollars in incentives offered by Prime Minister Narendra Modi’s government to build EVs, as India meets its climate change and carbon reduction goals. wants to fulfill.

India’s EV market, dominated by Tata Motors, accounts for just 1% of the country’s annual sales of around 3 million vehicles. The government wants this to increase to 30 percent by 2030.

Mahindra expects electric models to account for between 20% and 30% of its total SUV sales by March 2027. At 30% it expects a volume of around 200,000 electric SUVs a year, said Rajesh Jejurikar, executive director of Mahindra’s auto and farm sector.

Jejurikar said the company will share more details about its future product plans in August but will unveil its first electric SUV in September, which is expected to go on sale in the first quarter of 2023. And four more models by March 2026.

Mahindra, which is building a ground-up EV platform called “Born Electric”, said in May it would source EV components for its vehicles from Germany’s Volkswagen AG ( VOWG_p.DE ). Looking to partner with Read more

Shah told Reuters the same month that the company was looking for more such partnerships to expand its EV business. Read more

Reporting by Aditi Shah; Edited by Emelia Sithole-Matarise

Our Standards: Thomson Reuters Trust Principles.

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