Hero Electric and Mahindra announce a strategic partnership to enhance production, develop new vehicles, and electrify Peugeot Motocycles’ portfolio through platform sharing
Hero Electric and Mahindra Group have today announced a partnership to create multiple synergies to help drive the adoption of EVs across the country. Under the alliance, Mahindra Group will produce Hero Electric’s electric models such as NYX and Optima at the Pitampur facility to meet the growing demand amongst customers looking for EVs.
Consequently, the Hero Electric brand will be able to meet its demand of manufacturing over one million EVs per year by 2022. Speaking on the announcement, Naveen Munjal, MD, Hero Electric said, “Hero Electric has been leading the Electric two-wheeler sector in the country. To further deepen its roots and strengthen the leadership, Hero Electric has announced a partnership with the Mahindra Group, which is leading the EV transition in the electric three and four wheelers space.”
The relationship will further aim at enhancing the manufacturing capabilities and utilising Mahindra Group’s robust supply chain to reach newer centres in India. The long term partnership will see both the brands taking advantage of each other’s expertise in different fields pertaining to electric vehicles and “drive new product development in the next few years“.
Hero Electric is also looking forward to creating more such synergies with Mahindra Group in the near future. The co-development efforts will play a significant role in developing the platform approach to aid in introducing electrified powertrains with Peugeot Motocycles’ product range. It is expected to bring significant value to both companies.
This will be done through optimization of costs, timelines, and shared knowledge in the fast-growing global EV environment. Rajesh Jejurikar, Executive Director, Auto & Farm Sectors, Mahindra & Mahindra Ltd spoke of the partnership and said, “I see significant value creation on a mutually beneficial basis and look forward to this partnership delivering on its obvious promise.”
The French brand has ambitious EV plans to expand into different parts of the world and mainly in Europe. The alliance will strengthen the efforts through joint development and platform sharing. Mahindra Group’s Research & Development Centre in India will play an integral part in this arrangement along with the Pitampur plant that already supplies Peugeot with EV products.
The two companies will create A seamless channel of communication will be created between both companies’ R&D teams as knowledge sharing will be vital in developing new products and technologies. This will be done keeping the Indian and global markets in mind.