Mahindra and Ford to Co-develop Seven New Models for Indian Market
Mahindra and Ford announced a new joint venture on October 1, which will be operational from mid-2020. This JV will see both the carmakers co-develop and sell vehicles in the country without Ford losing the power to build vehicles in India.
In this JV, Mahindra will own 51 percent of the stake and the remaining will be owned by Ford. It will be led operationally by Mahindra while the decisions will be taken from the representatives of Mahindra and Ford. Moreover, Ford will also transfer its India operations to the new company formed under this JV, which will include personnel and assembly plants located in Chennai and Sanand.
As per reports, none of the companies will lose their identity and will continue to sell the vehicles through their respective dealer networks. This joint venture will initiate the co-development of new models that will result in the production of seven new models, including three new UVs from Ford.
C-SUV, the vehicle which was first talked about in 2018, will be part of this JV and is expected to be built by Mahindra. It will be a derivative of W601 and will be co-developed by Mahindra, SsangYong, and Ford. Once produced, it will be positioned above the Hyundai Creta in the Indian market. It will sport the next-gen BS-VI compliant, 2.2-litre diesel engine from Mahindra. While most of the core components will be based on W601 from Mahindra, the version provided by Ford will feature an all-new exterior, interior and improved chassis.
This JV will also focus on Electric vehicles that will be initiated with the Mahindra-badged electric version of Ford Aspire, to be launched by 2021. This JV will also result in collaborations and sharing of powertrains which will involve Ford EcoSport, featuring a 1.2-litre turbo-petrol engine in 2020 that will be later taken over by the BS-VI compliant engine.
This JV will also result in the use of Ford’s distribution network across the emerging market to export Mahindra cars and SUVs, along with Ford’s vehicles. This JV will surely result in several benefits for Mahindra and Ford, but we are eager to see how the vehicles built under this JV will perform once they hit the roads.
Ayantika Halder is a dreamer and believes that sky is not the limit. She is a firm believer that pen is mightier than sword and spends most of her day reading and writing. In her spare time, she loves watching TV series, movies and is already planning for her next trip.