HomeCar NewsMahindra, Ford to rebadge SUVs like Maruti, Toyota - 9 car launches...

Mahindra, Ford to rebadge SUVs like Maruti, Toyota – 9 car launches planned

Mahindra XUV300 sales
XUV300 could probably be one of the first cars to get rebadged.

Earlier this year, Mahindra and Ford had inked a deal to jointly develop cars, share technology and dealerships in India. Now a new report by Financial Express reveals that a total of 9 SUVs will be launched by the two companies.

Of these 9, three cars will be rebadged and will be launched by Mahindra as well as Ford. This makes 6 launches. And the other three cars will be exclusively made for Ford, by Mahindra. These will only be sold by Ford and not be rebadged by Mahindra.

As a part of the agreement, while Mahindra will be developing the vehicle architecture and engine, Ford India will invest around $200 million (Rs.4,300 crores) into this project. These upcoming SUVs will be for sale both in India and in global markets.

Ford EcoSport
EcoSport is reportedly going to be discontinued.

All the SUVs will be made by Mahindra. Each will be using a Mahindra platform and powertrain as well. The investments by Mahindra will be towards development of the vehicle architecture and engine while investments from Ford will be directed towards change in design and body type so as the avoid cannibalization.

Mahindra will also be using one of the Ford manufacturing plants in India at Sriperumbudur and Sanand with total capacity of 4.4 lakh units per annum. These plants are currently underutilized as Ford India produces 2.7 lakh units per annum out of which 1.8 lakh units are exported.

The joint development between Mahindra and Ford India will benefit both automakers. Ford India has long struggled to enhance it presence in India despite having entered the country in 1995.

The company closed the 2019 fiscal with sales of 92,937 units and currently commands a 3 percent market share in the country. It will gain from a lower cost of manufacture by Mahindra and will learn the India way of cutting costs. Mahindra will also benefit from this alliance and it will receive global learning and ways to increase standards of vehicles.

Ford has recently launched the 2019 EcoSport in India and even reduced prices by Rs.57,400; inspite of the new EcoSport getting updated with new features. The current price range extends from Rs.7.69 lakhs to Rs.11.33 lakhs and draws attention to Ford India’s efforts in increased localization there by passing on the extra benefit to customers.


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