Mahindra will look for more partnerships to boost its electric vehicle portfolio.
Anish Shah, chief executive and managing director of Mahindra, said that the company had previously focused on developing EV components in-house but shifted its strategy to forge partnerships to achieve faster growth in the EV segment.
During the World Economic Forum summit at Davos, Shah, in an interview, said that the “world is moving towards a lot more partnerships. It’s better to source the best that’s out there, rather than do everything ourselves.”
“It’s VW (Volkswagen) at this stage and as we see similar strengths in other areas, we are open to looking at various components that we would bring in, and do what we are very good at in-house as well,” he added.
Although Mahindra is placing significant bets on expanding its portfolio of electric vehicles, it will face intense competition from India’s Tata Motors. Tata Motors is currently the dominating brand in the Indian EV market.
As India strives to meet its climate change and carbon reduction targets, Prime Minister Narendra Modi has announced billions of dollars in incentives for businesses to develop and expand their electric vehicle (EV) operations.
Mahindra has developed a range of electric-powered commercial vehicles in India, but the company’s current focus is on passenger cars and SUVs in particular. Shah said, “Our strike zone has been authentic SUVs, that’s where we are going to stay … we are not going to make EV sedans, no hatchbacks,”
By 2030, the Indian government hopes to see electric vehicle (EV) sales share of 30% for private cars, 70% for commercial vehicles, and 80% for two- and three-wheelers.