Mitsubishi to enter car sales business in India
Mitsubishi is poised to enter India’s competitive car sales market, marking its debut with a strategic investment in TVS Mobility, a prominent player in the country’s dealership landscape.
The agreement entails Mitsubishi acquiring a substantial stake, over 30 percent, in TVS Mobility’s car sales division, pending regulatory approvals. The investment, estimated between 5 billion to 10 billion yen ($33 million to $66 million), reflects Mitsubishi’s commitment to establishing a significant presence in India’s automotive sector.
Upon finalisation of the investment, Mitsubishi plans to integrate its personnel into the dealership operations, signifying a collaborative effort to capitalise on the growing Indian market.
The envisioned partnership will see the formation of a new entity, dedicated to offering a diverse range of car brands through dedicated showrooms. Leveraging TVS Mobility’s existing infrastructure, the venture will initially focus on bolstering sales of Honda cars, an integral part of TVS’s portfolio.
In line with the global automotive industry’s shift towards sustainability, the new company is poised to embrace electric vehicles as a cornerstone of its offerings. Mitsubishi aims to spearhead the promotion of EV adoption in India, aligning with the country’s push towards cleaner mobility solutions.
Additionally, the venture aims to enhance customer experience by introducing innovative services, such as smartphone-enabled maintenance scheduling and insurance purchases.
Looking ahead, Mitsubishi intends to engage in discussions with Japanese automakers to diversify the range of car brands and models available in India.
