Mahindra & Mahindra has recently stated that it will manufacture all important electric vehicle components in-house, in a recent announcement that has revved up India’s push toward electric vehicles.
Touted as India’s largest utility vehicle maker, experts state that M&M is gearing up for the next wave in automotive and transportation industry, a move which is aimed at bolstering EV production, thereby limiting dependency on fossil fuels. Analysts predict the rising penetration of EVs to primarily drive electric motors market size.
Reportedly, the company is expected to set up collaborations and JVs through its 98.8% owned business division, Mahindra Electric Mobility Ltd. For the record, this unit is set to manufacture EV parts encompassing motors, batteries, electronics, and transmission units. Industry analysts further consider this move to marginally impact the regional electric motors market expansion, as these motors play a vital role in energy conversation.
For the uninitiated, the Modi government had announced its plan in the month of May of the on-going fiscal year to purchase 10,000 electric vehicles from a state-run agency, Energy Efficiency Services (EESL). Reports claim that M&M will supply 150 electric sedans and would join Tata Motors to sell a total of 500 electric cars in the first phase of the government’s order. India’s National Electric Mobility Mission Plan also aims to make the country an all-EV market by 2030, having envisaged a total of 6 million EVs on the streets in coming three years. In a bid to kick-start the ultra-ambitious project, electric motors industry is expected to accelerate its production, which as per reports is anticipated to cross 2 billion units by 2024.
If reports are to be believed, M&M aims to manufacture all types of EVs, from three-wheelers to buses, and currently has more than 3000 e-vehicles on road. Reports also claim that the company will invest around INR 600 crore in technology and EV components.
Further ramping up its EV division, India’s major automaker is expecting JVs with overseas partners to set up plants for motors, transmission, and lithium-ion batteries.