Mahindra, Ford to tie up in mobility solutions

The automakers said that the partnership will strengthen USA-based Ford’s commitment to India, while facilitating Mahindra’s expansion into other emerging global markets

September 4, 2018

The latest partnership between Mahindra and Ford will focus on mobility, electrification and product development for India and other global emerging markets

The partnership comes amid Indian Government’s growing emphasis on electric vehicles (EV) production along with supporting infrastructure and components

Mahindra and Ford will also focus on technologies related to clean, connected and shared mobility; Currently Mahindra is India’s largest EV manufacturer

The rapidly-growing Indian automotive industry (including component manufacturing) is expected to reach a valuation of as much as US$280 billion by 2026

India’s Mahindra Group and USA-based Ford Motor have announced a strategic partnership to explore opportunities in India and other global emerging markets. The partnership aims to leverage Ford’s global reach and Mahindra’s scale in India to tackle the challenges brought forward by an era of unprecedented transformation in the global automotive industry. The areas of potential cooperation include: 1) Mobility programs; 2) Connected vehicle projects; 3) Electrification; 4) Product development; 5) Sourcing and commercial efficiencies; 5) Distribution within India; improving Ford’s reach within India; 6) Global emerging markets; improving Mahindra’s reach outside of India.

 

Teams from both companies are to collaborate and work together for a period of up to three years. Further strategic cooperation between the two companies will be decided at the end of that period. Ford’s president of global markets, Jim Farley, had said that the company was committed to India and that the alliance would help it to profitably grow in the world’s fifth largest vehicle market. The partnership comes amid Indian Government’s growing emphasis on electric vehicles (EV) along with supporting infrastructure and components. Mahindra and Ford will also focus on technologies related to clean, connected and shared mobility. Currently Mahindra is India’s largest EV manufacturer.

 

Ford is one of the leading vehicle manufacturers and exporters in India. The company builds and exports vehicles and engines from its manufacturing facilities in Chennai, Tamil Nadu and Sanand, Gujarat. Ford employs around 14,000 people in India across Ford India and its Global Business Services operations from the country. In March 2018, the company had announced another partnership with Mahindra to jointly develop new SUVs and a small electric vehicle, along with engine components and a suite of connected car solutions. These will target the Indian automotive industry which (including component manufacturing) is expected to reach as much as US$280 billion by 2026.

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