Mahindra, Ford may extend tie-up to make electric vehicles for India

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Ford Motor and its Indian partner Mahindra & Mahindra could create their own electric car line in the country to help battle pollution from the vehicles clogging India’s roads, chairman Anand Mahindra said. 

electric vehicles, Mahindra, Ford, India
(Image for representational purpose only)

Mahindra & Mahindra, which already sells the e2o micro electric car, would be open to creating a new electric vehicle line in India with Ford, Mahindra said following the opening of a factory in Auburn Hills, Michigan, to produce an off-road vehicle for the US market. Ford said earlier this month it will create a new electric car line in China with its partner there, Anhui Zotye Automobile.

“India could be the other location for doing that,” Anand Mahindra said to ET when asked if Ford’s plan to create an EV line-up with its Chinese partner could be replicated in India. “In India, it may just happen because of a crisis of congestion and pollution, which is why the government there said we want every car to be electric by 2030, which is outrageously ambitious.”

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Ford and Mahindra rekindled a partnership in September to work on electric cars, connected vehicles and distribution in India, where the US automaker struggles to make money. India is set to become the world’s third-largest auto market and both companies have strengths in sport utility vehicles. As part of a three-year alliance, the two automakers are looking for ways to cut costs and boost profits by jointly purchasing parts and developing new models.

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