Mahindra & Mahindra and Ford Motor Company signed as many as five memoranda of understandings (MOUs) last week. As per the agreements, the two companies would work together to develop a range of new products. So, basically, while Mahindra will benefit from the American company’s high technical prowess, the latter will benefit from the UV-maker’s understanding of the Indian market and several cost-saving processes. One of the most important product to come out of this partnership will be mid-size SUV that will be sold by the American company.
The platform for this upcoming Ford SUV will be supplied by Mahindra & Mahindra. The new SUV will be the size of the Mahindra XUV500 and will be launched in 2021. Speaking to media, Pawan Goenka, Managing Director, said,“We have had these alliance teams working since the last six months to pin down what are the things we could be working together. The MoUs are signed to work on some specific things. The C-SUV will be a Mahindra platform on which there will be a Ford vehicle to be launched somewhere in 2021 or thereabouts. There is another SUV (B-SUV) that we are right now working to see if we should have a common platform.”
The B-SUV will launch in the compact SUV segment, where Maruti has been the sales-leader with its Vitara Brezza. The Ford EcoSport and the Tata Nexon also sell in decent numbers. Mahindra, on the other hand, has tasted only limited success with the TUV300 and KUV100. As of now, it remains to be seen if the Indian UV maker would make use of the EcoSport’s platform to come up with a modern compact SUV in this segment.
Ford, on the other hand, will be trying hard to establish a stronger foothold in India with the help of the vehicles developed in cooperation with Mahindra & Mahindra. The American manufacturer has been present in the country for more than two decades now. However, it has pretty much failed to impress a majority of car buyers. While cars like the EcoSport and the last-gen Figo sold in decent numbers, the company is yet to make it really big in our car market. The two companies will now work with each other to develop a world-class future product range. Moreover, the two will also work together on new powertrains for their upcoming products. “There is engine sourcing agreement where Mahindra will supply to Ford for some of their India products and potentially for their global portfolio”, added Goenka.