The Mahindra Group and Ford Motor Company have decided to jointly develop new SUVs (sports utility vehicles) and a small electric vehicle.
The two have just signed five new memoranda of understanding (MoU) to further strengthen their strategic alliance and accelerate the development of key products for consumers in India and emerging markets.
The MoUs, which are non-binding, mark a movement forward since the two announced their alliance in September 2017.
Many summers after their separation, Mahindra Group and Ford Motor Company returned to the table yet again in September last to explore a strategic alliance covering a gamut of areas ranging from product to technology and distribution.
As part of the agreement then, they decided that teams from both companies would collaborate and work together for a period of up to three years. “Any further strategic co-operation between the two will be decided at the end of that period,” said a joint release in Septermber last.
Thursday’s MoUs must be read in the context of this broader alliance agreement penned last year.
Under these initiatives, Mahindra and Ford will leverage its strengths in the utility vehicle space to co-develop a mid-size sports utility vehicle (C-SUV). Built on the Mahindra platform, the new SUV will drive engineering and commercial efficiencies and be sold independently by both companies as separate brands. Mahindras and Ford have also agreed to evaluate co-development of a compact SUV and electric vehicle, along with sharing power-train portfolios, including the supply of Mahindra power-trains to extend Ford’s product range.
The two have also announced plans to co-develop a suite of connected car solutions for consumers.
