Mahindra, Volkswagen ink EV component deal in e-mobility push  

Indian automaker Mahindra and Mahindra Ltd has signed a supply agreement for electric vehicle components with Germany’s Volkswagen Group, the companies announced last week. 

This is the first supply agreement between the companies, deepening a collaboration which started with a partnering agreement and a term sheet in 2022, Volkswagen and M&M said in a joint press release.

Volkswagen will supply its electric vehicle building blocks, or modular electric drive matrix (MEB), for Mahindra’s purpose-built electric platform INGLO

The deal covers the supply of certain electric components as well as unified cells.

Mahindra will be the first external partner to use the unified cell concept, the core element of Volkswagen’s battery strategy. The supply agreement will run over several years and will have a lifetime total volume of about 50 GWh. 

Volkswagen’s MEB platform and its components are used by group brands Volkswagen, Audi, Škoda, SEAT, and CUPRA, as well as external partners by Ford and Mahindra.

Both companies will continue to evaluate a potential expansion of the collaboration, they said. 

With sales of more than five million new vehicles per year in 2023, India is one of the largest automotive markets in the world. 

The electrification of the passenger car segment is expected to gain significant momentum in the coming years.

Mahindra, with a market share of 21% in the SUV segment, is the leading carmaker in the country. 

The company plans to launch five all-electric SUVs in India based on its new, purpose-built electric platform INGLO, starting this December.