Mahindra is planning to invest Rs 3,000 crore in its EV business in India in the next three years, and aims to have 5 lakh electric vehicles on roads by 2025
Mahindra & Mahindra Ltd has revealed its plans to invest Rs 3,000 crore in its electric vehicles business in the next three years, as it targets the goal of putting 5 lakh electric vehicles on the Indian roads by 2025. According to a top company official, Mahindra is also looking for more alliances and partnerships in the vertical.
“So, for EVs we are going to invest Rs 3,000 crore additional to what we have talked about,” Mahindra Group Managing Director and CEO Anish Shah said. He also revealed that Mahindra is working on developing an EV platform by combining capabilities of its operations across the globe, including Detroit and Italy.
“There are multiple capabilities we have within the group. We have capabilities in Detroit…we have capability in Automobili Pininfarina and our Formula E,” Shah said, adding these will be combined to get an electric platform for India. Mahindra is reportedly considering alliances for its EV business.
Mahindra believes that the cost of ownership of electric three-wheelers and small four-wheelers for passengers and load-carrying is now the same as that of conventional vehicles with charging not an issue due to swappable batteries. However, for four-wheelers, it is going to take around three to five years, and infrastructure will not come until the cost of ownership is equal to ICE cars.
Mahindra & Mahindra has already invested Rs 1,700 crore in the EV business in India with another Rs 500 crore on a new research and development centre. While the company has already opened its electric technologies plant in Bengaluru that produces battery packs, power electronics and motors, it has also invested in a new manufacturing unit at its Chakan plant to produce electric vehicles.
Mahindra showcased a fully-electric concept based on the XUV300 at the 2020 Auto Expo, but the carmaker hasn’t yet confirmed when the production-ready version of the EV will hit the markets. Moreover, the electric KUV100 (e-KUV100) has also been in the pipeline for a long time now.