The Indian automaker plans to equip its “Born Electric Platform” with Volkswagen’s MEB electric components such as electric motors, battery system components and battery cells. The MEB electric platform is an open vehicle platform that allows car manufacturers to build their portfolio of EVs, quickly and cost-effectively.
The companies are evaluating the scope of collaboration and expect to conclude the binding supply agreement by the end of 2022.
Commenting on the partnership, Tr. Thomas Schmall, Volkswagen Group Board of Management member for Technology and CEO of Volkswagen Group Components said: “Together with Mahindra, we want to contribute significantly to the electrification of India.”
The partnership is aimed at electrifying the Indian automotive sector, a market of 3 million vehicles per year, and a key element in the global decarbonisation of the mobility sector – New Delhi pledged at the Glasgow Climate Change Conference to have 100 per cent zero-emissions vehicles from 2035 onwards.
“The complementarity of their [Volkswagen’s] extensive technology, innovation, and vertical integration in supply chains, will provide a framework to develop our next gen ‘Born Electric Platform’, to be revealed soon in Oxfordshire UK,” said Rajesh Jejurikar, Executive Director, Auto and Farm Sectors, Mahindra & Mahindra Ltd.
According to current forecasts, the Indian automotive market – dominated by vehicles with diesel or petrol engines – could grow to up to 5 million vehicles by 2030, the statement said. As a result of India’s decarbonization commitment, the electrification of the passenger car segment is expected to grow, with industry experts anticipating that in 2030 more than half of all new vehicles will be fully electric.