Mahindra Group and Ford Motor Company have entered into a strategic alliance, focusing on product development for India and other developing countries. The first product under this joint venture will be a mid-size SUV using a common Mahindra product platform and powertrain. This will help in efficiently managing the engineering and commercial prospects of the project.
This alliance will also have the Indian Group develop and supply a low-displacement petrol engine in Ford’s vehicles from 2020. Both the companies will also develop a telematics control unit.
Dr Pawan Goenka, managing director, Mahindra and Mahindra Ltd. said; “Today’s announcement is another significant step in the collaboration between our two companies. Having identified several areas for joint development, both companies will continue to work together to develop products using common product platforms. This will reduce product development costs and gain economies of scale for both companies.”
The strategic alliance between these companies will leverage Ford’s global reach and Mahindra’s scaling and operating prowess. The alliance will also focus on electrification, distribution along with product development.
Jim Farley, president of Ford New Businesses, technology & strategy said “With today’s announcement, we not only strengthen our ongoing partnership with Mahindra but also sharpen our competitiveness in an important emerging market like India.”