Mahindra & Mahindra to develop three engines along with SsangYong Motors

Mahindra & Mahindra auto majors in India in a bid to increase their presence in global markets will be developing three new engine platforms in collaboration with their Korean counterparts SsangYong Motors. These engines are expected to be ready for in the coming two to three years. Investments for development of these new engines will be shared with M&M pooling in Rs.4000 crores and SsangYong contributing Rs.1500 crores over a period of three years towards this joint development.

The company, however, declined from giving any more details as to these engine specifications and even declined from elaborating whether they are being developed for small cars, sedans or SUVs. In all probability, these engines will be compact and high powered diesel engines to be used in both the M&M and SsangYong SUVs and passenger cars.

Besides working on this joint engine production scheme, the two companies are also working on joint global sourcing and utilization of global networks for their products. Mahindra Rexton was recently launched in India. This SUV in a price range of Rs.17.75 lakhs to Rs.19.75 lakhs is the third SsangYong Rexton being launched which will be produced from the company plant in Chakan, Maharashtra. The company plans on adopting same strategy for Mahindra Rexton as it did for Mahindra XUV500 introducing it in a phased manner so that the company is able to manage deliveries and waiting periods are not extended.