Volkswagen and M&M announced that they have signed a Partnering Agreement on May 18 to evaluate the scope of collaboration and exploring the use of MEB electric components for Mahindra’s new “Born Electric Platform”.
Mahindra intends to equip its “Born Electric Platform” with MEB electric components such as electric motors, battery system components and battery cells. The Partnering Agreement evaluates the scope of collaboration – it indicates binding rules for the evaluation phase as well as the non-binding scope of supply. The binding supply agreement will be negotiated in a continued constructive and legally compliant way to conclude by the end of 2022.
Designed as an open vehicle platform, the MEB electric platform and its components allows car manufacturers to build their portfolio of electrified vehicles, quickly and cost-effectively.
The shared objective of the two companies is to electrify the Indian automotive market, one of the most important automotive growth markets and a key element in the global decarbonisation of the mobility sector.
Thomas Schmall, Volkswagen Group Board of Management member for Technology and CEO of Volkswagen Group Components: “It’s another proof point that the MEB is both technologically state of the art and highly competitive in terms of cost. The MEB is thus progressively developing into the leading open platform for e-mobility, generating significant volume and economies of scale. That’s crucial for every company in the EV world and the key to competitive solutions for our customers.”
Commenting on the partnership, Rajesh Jejurikar, Executive Director, Auto and Farm Sectors, M&M added: “We are very pleased to have Volkswagen, a significant global investor in the electric mobility space, as a strategic partner in achieving our ambitious Born Electric Vison. The complementarity of their extensive technology, innovation, and vertical integration in supply chains, will provide a framework to develop our next gen “Born Electric Platform”, to be revealed soon in Oxfordshire UK. Our teams across India, UK and Detroit are passionately creating a breath-taking future.”
Volkswagen’s MEB Electric Platform is currently being used by the Group brands Volkswagen, Audi, Skoda and SEAT/CUPRA as well as external partners.
India is one of the Global Top-5 Automotive Markets with about three million vehicles per year. According to current forecasts, the market could grow to up to five million vehicles by 2030. So far, the market has been dominated by vehicles with diesel or petrol engines. However, at the 2021 Climate Summit in Glasgow, India undertook only to register zero-emission passenger cars and vans, starting 2035. As a result, the electrification of the passenger car segment is expected to gain significant momentum in the coming years. Industry experts anticipate that in 2030 more than half of all new vehicles will be fully electric.