Mahindra electric plan to attack Tata

Currently, Tata Motors is leading the EV segment with Tata Nexon EV and Tata Tigor EV in the country. The next carmaker to enter the EV race is Mahindra. They have some ambitious plans related to the EV segment in near future. In this article, we will discuss what is Mahindra’s plan related to their EVs and how they can compete with Tata Motors in terms of EV race.

Mahindra’s EV plan explained

Mr. Rajesh Jejurikar, Executive Director, Auto and Farm Equipment Sector, M&M, had revealed Mahindra’s EV plans where he said that they will be focusing on brands like the Bolero, Scorpio, XUV, and Thar. These will be the core brands, but it doesn’t mean that they will discontinue other brands. They may do a new brand for electric vehicles as they go along. But that’s under discussion. By 2027, Mahindra will be ready to launch eight EVs. Out of these eight EVs, four will be derived from the existing lineup viz. the Bolero, Scorpio, XUV, and the Thar that are available in petrol and diesel variants. The remaining four new SUVs will be all-new “born-electric” designed from scratch.

Mr. Jejurikar mentioned that by 2027, they will be ready for at least 20 percent of their total SUV volumes to be coming from electric vehicles. Also replying to a question from media present, he said that if the charging infrastructure grows faster, they will likely be ready for even higher penetration of EVs. He also said that Mahindra would be number one in core electric SUVs with eight new products. This statement shows that Mahindra is very confident about its EV plans and is getting ready to face Tata Motors head-on when it comes to gaining supremacy in the EV segment.

Mahindra’s Investment Plan

Discussing further, Mr. Jejurikar also revealed the investment plans of Mahindra. For the period FY2022-FY2024, Mahindra will invest Rs 13,500 crore in various sectors. He said that they have put aside Rs 6,000 crore for auto conventional products, Rs 3,000 crore for auto electric products, Rs 3,000 crore for the farm sector, and Rs 1,500 crore for other subsidiaries or businesses.” He also said that as they move into the next cycle (beyond FY2022-FY2024), they would obviously expect that investments in EVs would be higher than investment in ICE (Internal Combustion Engine).

Mahindra seems to be following Tata Motors’ footsteps by setting up a separate subsidiary that will look after its EV business. When asked about the same, Dr. Anish Shah, MD and CEO, M&M, said that they were open to getting more investment than the Rs 3,000 crore already allocated from private equity firms or others outside. They are open to all of those options because they see EVs being a major play for them going forward. He also added that they are now open to funding coming in from outside that would help them grow much faster, but that was not just for capital, that was also for any expertise that they may get. In the current world, they sometimes also see expertise coming in from private equity firms or other strategic partners.

Although Mahindra sounds very confident regarding its EV plans, will it be able to conquer the EV segment, only time will be able to answer this question. If you have car buying doubts click here to ask! Get the lowest price for car insurance here. For more such content stay subscribed to MotorOctane Youtube, Google News Facebook, and Twitter. Also, follow us on Flipboard and Reddit where we have a discussion community.