As Indian automakers prepare a paradigm shift towards BS-VI emission norms by 2020, Mahindra & Mahindra is likely to discontinue a few of its slow performing vehicles like Mahindra Xylo, Mahindra Nuvosport, and Mahindra Verito Vibe and these vehicles are likely to meet their fate by 2020. With new emission and safety norms kicking in many older products might not get fresh investments and will be off the market once the inventory is cleared. The move to BS-VI will instead see many new products being rolled out and not just Mahindra but even the likes of Tata Motors would now focus on bringing in new products. Many old and iconic cars like Tata Nano, Tata Indica might not be sold in the market post-2020 or even earlier once the companies are ready with its BS-VI vehicles fleet.
In an interview to Moneycontrol, Dr.Pawan Goenka, Managing Director, Mahindra & Mahindra, said that “We have to meet BS-VI in all of our products. We have already made a decision on dropping some products when we go to BS-VI, which are low volume products. And we have to invest in all the safety regulations that are coming in and therefore there is no letting up of investment in those areas.”
In the upcoming financial year, Mahindra and Mahindra has confirmed that it will launch four new SUVs in the Indian market. This will include its codenamed Mahindra U321 MPV that will rival the likes of Toyota Fortuner. In addition, there will be the Mahindra S201 crossover, Mahindra badged G4 Rexton SUV and Mahindra KUV100 electric SUV. The company will pan out a schedule to evenly space out the roll-out of these products. Mahindra badged G4 Rexton SUV is company’s first bet in the premium space under Mahindra badging and will take on the likes of 2018 Honda CR-V and Ford Endeavour. With the launch of this SUV, Ssangyong Rexton will also bid farewell from the Indian market. Mahindra’s S201 crossover vehicle will underpin Ssangyong Tivoli’s platform which indicates Mahindra is not looking to bring in any more Ssangyong products to India.
Upcoming Mahindra Cars/SUVs in India
Name of the vehicle | Expected Launch date | Rival |
Mahindra U321 MPV | April/May 2018 | Toyota Innova Crysta |
Mahindra S201 | September/October 2018 | Maruti Suzuki S-Cross, Hyundai Creta |
Mahindra KUV100 electric | November 2018 | First in segment yet |
Mahindra Rexton G4 SUV | December 2018/January 2019 | Honda CR-V, |
Despite no policy on EVs, Mahindra is betting big on electric vehicles and is taking a ‘leap-of-faith’ in EVs by investing a lot in it. The company has announced fresh plans to expand its manufacturing capacity to up to 5,000 units a month.
“We have already invested Rs 600 crore in EVs over the past five-six years and have announced decided to invest Rs 400 crore in Karnataka and Rs 500 crore in Maharashtra over the next four-five years. This will be used for capacity, technology, and products.”
Mahindra-Ford partnership:
In the meanwhile, by 2020 expect to see a new product coming out as a result of the partnership between Mahindra and Ford. The partnership between Ford and Mahindra will seek the benefits of Ford’s global reach and expertise and Mahindra’s scale in India and its successful operating model. Both the companies are working together for new product development, electric mobility, and connected vehicle projects.
With many things going along and frequent disruptions, automakers are currently busy with upgrading its products to meet BS-VI emission norms, safety norms and also ensuring in securing a long-term sustainable business model that will benefit both society and the company. EVs and hybrid technology in vehicles are going to be the next big thing and expect Indian automakers like Mahindra and Tata Motors along with Indian-arm of Suzuki, Toyota and Honda to lead this change in the Indian market.
