Mahindra & Ford Partner to Make Mid-Size SUVs in India

Mahindra and Ford have formed an alliance to made mid-size SUV cars in India.

The new mid-sized sports utility vehicles will have a common Mahindra product platform and powertrain.

(Photo: The Quint/Canva)

Mahindra & Mahindra (M&M) and Ford Motor Company on 18 April said they have signed a definitive agreement to co-develop a mid-sized SUV for India and other emerging markets.

The new agreement reinforces the steady progress made since the announcement of a strategic alliance between the two companies in September 2017, followed by an announcement on powertrain sharing and connected car solutions in October 2018.

The new mid-sized sports utility vehicle (C-SUV) will have a common Mahindra product platform and powertrain, thus driving engineering and commercial efficiencies.

“Having identified several areas for joint development, both companies will continue to work together to develop products using common product platforms,” M&M Managing Director Pawan Goenka said in a statement.

This will reduce product development costs and gain economies of scale for both companies, he added.

President of Ford New Businesses, Technology and Strategy Jim Farley said that with the new pact the company will not only strengthen its ongoing partnership with Mahindra, but also sharpen its competitiveness in an important emerging market like India.

“Ford’s technological leadership combined with Mahindra’s successful operating model and product prowess will surely help us deliver a vehicle that will meet the expectations of customers in India as well as other emerging markets,” he added.

The strategic alliance between the two companies is focused on leveraging the benefits of both companies – Ford's global reach and expertise and Mahindra's scale and successful operating model in India, he said.

Teams from both companies continue to collaborate on all areas of mutual interest including electrification, distribution and product development.

Ford has already signed an agreement with Mahindra Group to develop and supply a low-displacement petrol engine for use in Ford's present and future vehicles, beginning in 2020.

Mahindra and Ford had also announced joint development of a telematics control unit.