M&M bares plans to develop new vehicle platform
Mahindra and Mahindra (M&M) announced plans to invest Rs15 billion (US$282.3 million) to develop a new vehicle platform with its South Korean subsidiary SsangYong Motor, Business Standard reported. “We expect to see three products jointly developed with Ssangyong…There will be more investments for other products,” said Pawan Goenka, M&M president (automotive and farm sector).
M&M is also planning a major restructuring of its steel and auto component companies to create two distinct verticals out of its automotive and steel businesses. M&M will launch the Rexton sport utility vehicle (SUV) during the key festive season, the first product under the SsangYong label in the Indian car market.
M&M and SsangYong are developing a new engine platform for both gasoline and diesel models that will be used by both companies. The Indian automaker currently exports 6–7% of overall sales. Meanwhile, M&M last week launched its latest compact SUV, the Quanto, 2,500 units of which would be produced in October. (September 26 2012)