M&M, Ford join hands to help each other
Deal may help Mahindras to realise their global dream
New Delhi, Sept. 18: Mahindra & Mahindra (M&M) and Ford Motor Company on Monday inked a pact to explore a strategic alliance covering areas like product development, electric vehicles and distribution in India and abroad.
Under the agreement, teams from both companies will collaborate and work together for up to 3 years to leverage benefits of Ford’s global reach and expertise and Mahindra’s scale in India, the two companies said in a statement. “Any further strategic cooperation between the two companies will be decided at the end of that period,” they added.
The companies said that their alliance would look at areas of potential cooperation including, “mobility programmes, connected vehicle projects, electrification and product development”.
Besides, it will explore sourcing and commercial efficiencies, distribution within India, improving Ford’s reach within India, global emerging markets, improving Mahindra’s reach outside of India, the statement added.
Mahindra & Mahindra MD Pawan Goenka said: “Today’s announcement builds on the foundation laid through our past partnership with Ford and will open opportunities for both of us.”
The two companies had a 50:50 JV — Mahindra Ford India Ltd — in the mid-90s when Ford re-entered India.
Mr Goenka said that accelerated rise of new technologies, sustainability policies and new models of urban shared mobility have triggered changes in the automotive industry globally.
“Given these changes we see the need to anticipate new market trends, explore alternatives and look for ways to collaborate even as we compete and build powerful synergies that will allow rapid exploitation of the exciting new opportunities,” he said.
THE ALLIANCE would look at areas of potential cooperation including, “mobility programmes, connected vehicle projects, electrification and product development”.
IT WILL explore sourcing and commercial efficiencies, distribution within India, improving Ford’s reach within India, global emerging markets, improving Mahindra’s reach outside of India.