VW Inks deals to supply electrical components for Mahindra in Indian market
Volkswagen and Mahindra have said they will work together to build future electric vehicles. The Indian company intends to equip its new electric cars with parts supplied by the German automaker.
In particular, Mahindra wants to use components of the MEB architecture on its Native Electric Platform. This may include the supply of engines, battery system components and battery cells, but the terms of the contract are still being determined.
The Partnership Agreement, signed on 18 May, sets out an evaluation period in which companies determine the scope of the agreement. Mandatory delivery agreement will be negotiated and concluded by the end of 2022.
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“Mahindra is a pioneer in the field of electric mobility in India and an excellent partner of the MEB electric platform,” said Thomas Schmall, Chief Technology Officer of Volkswagen and CEO of Volkswagen Group Components. “In this way, the OIE is becoming a leading open platform for electronic mobility, generating significant volume and scale savings.”
When he launched his MEB platform, Volkswagen showed that it was open to licensing it to other automakers. It has already sold the platform to Ford for two electric vehicles for the European market. Now it enters the big market of India.
“Together with Mahindra, we want to make a significant contribution to the electrification of India, which is a huge automotive market with huge growth potential and high relevance to climate protection,” Schmall said.
At the Climate Summit in Glasgow, Scotland, in 2021, the Indian government pledged to allow only the sale of zero-emission vehicles by 2035. Then the country’s electric car market is expected to expand rapidly. For Mahindra, the deal will help her with her electrical ambitions.
“We are delighted that Volkswagen, an important global investor in the space of electric mobility, has become a strategic partner in achieving our ambitious Born Electric Vision,” said Rajesh Jejurika, Executive Director of Mahindra’s automotive sector. “Their complementarity of advanced technology, innovation and vertical integration in the supply chain will be the basis for the development of our next generation Native Electric Platform, which will soon open in Oxfordshire, UK.”
