Mahindra Group and Ford Motor Company have taken the next
step in strengthening their ongoing strategic alliance in India with a
definitive agreement to co-develop a midsize sports utility vehicle (SUV). Under
the new agreement, Mahindra and Ford will work together to introduce a
benchmark product for India and emerging markets.
The new agreement reinforces the steady progress made since
the announcement of the strategic alliance between the two companies in
September 2017, followed by an announcement on powertrain sharing and connected
car solutions in October 2018. The new compact SUV will have a common Mahindra
product platform and powertrain, thus driving engineering and commercial
Dr Pawan Goenka, Managing Director, M&M Ltd. said, “I am
happy with the significant progress we have made and synergies we have created
since the announcement of our strategic alliance with Ford in 2017. 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
“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,” said Jim Farley, President of Ford New
Businesses, Technology and Strategy. “Ford’s technological leadership combined
with Mahindra’s successful operating model and product prowess will surely help
us deliver a vehicle that will meet the expectations of customers in India as
well as other emerging markets.”
The strategic alliance between the two companies is focused
on leveraging the benefits of both companies - Ford’s global reach and
expertise and Mahindra’s scale and successful operating model in India. Teams from
both companies continue to collaborate on all areas of mutual interest
including electrification, distribution and product development.