Mahindra with its South Korean unit Ssangyong Motor are betting big on expanding their utility vehicles portfolio. According to Pawan Goenka, President, automotive and farm equipment sectors, and also the chairman at Ssangyong, Mahindra will invest around 900 million dollars (Rs. 4,919 crores) to develop six new engines and three new vehicle platforms in the next four years jointly with Ssangyong. The company is ready with the plans for its first platform and new engines, so we can expect some excitement in the SUV and MUV lineup of Mahindra soon.
Goenka also confirmed that the company has no plans to develop small cars in the near future and the automaker will focus only on utility vehicles. Mahindra is also keen to buy out Navistar group’s stake in Mahindra Navistar Automotives and Mahindra Navistar Engines Private. In order to maintain the existing lineup of products developed with its former partner, Mahindra will invest Rs. 200-250 crore over the next three years. According to sources, Mahindra is one of the fastest growing auto manufacturers in the SUV segment.
In the period of April-December 2012, the company sold over 2.27 lakh units of its passenger cars and claimed a growth of 29.83 percent over the same period a year ago. Mahindra aims to expand its presence in the utility vehicle market globally. In October 2012, Mahindra launched the Ssangyong Rexton priced between Rs. 17 lakhs and Rs. 19 lakhs, which is gaining momentum in the market. Mahindra has also addressed the flaws in the XUV 500 and is planning to roll out the improved version soon. Mahindra looks promising to offer new and improved SUVs and MUVs in the near future.
