Post the fund infusion from JSW Group, five new products have been approved for market launch in the coming 12 months, says Rajeev Chaba, CEO Emeritus.
17 Jul 2024 | 11145 Views | By Ketan Thakkar
Flushed with funds thanks to its new joint venture partner, JSW Group, the British Brand MG Motor is set to roll out its vision 2.0, by launching one new product every 10 weeks for the following year.
To expand its addressable market and reinforce its aging portfolio, JSW MG ...
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Flushed with funds thanks to its new joint venture partner, JSW Group, the British Brand MG Motor is set to roll out its vision 2.0, by launching one new product every 10 weeks for the following year.
To expand its addressable market and reinforce its aging portfolio, JSW MG Motor India will enthuse the market with products ranging from Rs 15 lakh to Rs 50 lakh, informed the top management.
On Tuesday, Rajeev Chaba, CEO Emeritus, JSW MG Motor India, told media persons, “One of the joint venture's most significant priorities was getting approvals of the new products. I am happy to say that we have five new products approved for launch next year. Two will be premium products, and three will be mainstream products.”
The first model of the block is likely to be the Cloud EV – a crossover sports utility vehicle – to be positioned in the Rs 15 lakh to Rs 20 lakh bracket, sandwiching Comet EV and ZS EV.
This may be followed by a Bingo hatchback and D segment SUV based on its Starlight SUV globally. The top-of-the-line SUV is likely to sit alongside the Gloster, and may come with a Plug-in Hybrid variant and a Battery Electric Version. While these three models are likely to be locally manufactured, the company also aims to open dedicated premium outlets through which it aims to sell the Cyberster and MG7 EV, according to sources.
Chaba was non-committal on models beyond the CUV or crossover utility vehicle, which he said will retain MG’s DNA of being a high-tech product that offers the comfort of a sedan and the utility and benefits of an SUV.
“Just imagine an SUV with good, huge inside space. Visualise that vehicle; it's an intelligent SUV. It will be loaded with features as has been the tradition of MG. It will be a smart CUV scheduled for a September launch. Beyond that, I cannot share more details,” added Chaba.
With investment plans of Rs 5000 crore – the company is working overtime to add capacity. The company is in the process of acquiring land so that it can add a new manufacturing line at Halol, on the outskirts of Vadodara in Gujarat.
The company is also setting up a battery assembly plant within its Halol factory to ensure high localisation.
Chaba says, “We should expand fast. As we speak, we are looking at increasing our capacity from 100,000 to 300,000 (units). And when you have 300,000, you can do other products within the plant. So, that's our plan. So, we should aim to produce and sell 300,000 cars in three to five years.”
The CEO of the company admits that the market is slow and the volumes at MG have been lower than expectations, leading to stock at the dealership increasing. Still, with the onset of the festive season and the addition of new launches, he expects the monthly volumes to grow.
To be sure, JSW MG Motor India has seen its average sales come down to less than 5000 units a month. With the addition of new products, Chaba says the company would look at 70,000 to 75,000 units this financial year.
“We expect the second quarter to be better than the first and with the festive season, the momentum will further accelerate. I expect the market to grow by 7-8% in the current financial year,” added Chaba.
Apart from adding products and capacity, JSW MG Motor is also rapidly expanding the network footprint from 400 outlets to 600 outlets and catering to new buyers in the hinterland.
Also read: Electric car market to grow by 30% in 2024 – says Rajeev Chaba of JSW MG Motor India