Mahindra & Mahindra (M&M) on Wednesday said it has signed a deal with Tel Aviv-based REE Automotive to explore the production of electric commercial vehicles.
M&M firm has signed a memorandum of understanding (MOU) with the Israel based firm to explore the development and manufacturing of electric commercial vehicles to cater to global markets.
The strategic alliance will power REE’s revolutionary electric vehicle corner module and platform technology of integrating powertrain, suspension and steering components in the curve of a vehicle wheel.
The deal is a win-win strategic partnership for both the companies
Mahindra said this memorandum of understanding (MoU) will help it to use REE Automotive’s corner modular platform technology to integrate powertrain, suspension and steering components in the arch of a vehicle wheel. On the other hand, REE will benefit from Mahindra’s vehicle design, engineering, manufacturing and overall global presence.
The coalition will help to cater to REE’s global customer requirements for 200,000-250,000 electric commercial vehicle units over a few years, including potential Mahindra’s domestic and international volumes. Production would be increased further to boost additional volume in the global and Indian markets.
Rajesh Jejurikar, Executive Director (Auto and Farm Sectors), Mahindra & Mahindra, said, “The competitive advantages of REE’s corner modular architecture with our experience in conventional vehicle system design, engineering, sourcing ecosystem and significant manufacturing capacity, renders a perfect match to provide exciting zero-emission vehicles, comprising autonomous vehicles, that can meet customer requirements as never before.”
Daniel Barel, REE Co-founder and Chief Executive Officer, said, “We are excited to partner with Mahindra to explore synergies that will allow us to address our customers’ needs based on Mahindra’s footprint and capabilities. Mahindra’s unique cost structure, design and engineering capabilities and volume flexibility will be key to our ability to address the majority of the commercial EV market with both large-volume vehicles as well as more targeted mission-specific vehicles.”
REE’s architecture will enhance Mahindra’s capabilities in the electric vehicle sector. REE will leverage Mahindra’s global presence and its unique volume flexibility capability as well as its engineering and product development expertise.
REE’s transformational technology is designed for current and future e-mobility applications, including autonomous vehicles, and offers significant benefits in terms of weight, space and total body design flexibility. The scalability of the platform makes it ideal for any form of electric vehicles such as commercial vehicles, mid-duty delivery trucks, last-mile delivery, passenger cars, taxis and shuttles.
Mahindra and Mahindra Ltd (M&M), India’s largest tractor manufacturer, reported a 94% decline in its consolidated profit at ₹54.64 crore for June quarter 2020, adversely impacted by the coronavirus pandemic.
The company had posted a profit after tax of ₹894.11 crore in the same period last fiscal. Revenue from operations during the June quarter stood at ₹16,321.34 crore as against ₹26,041.02 crore in the year-ago period, down 37%.
The automotive segment posted revenue of ₹6,508.6 crore in the first quarter, down from ₹13,547.84 crore in the same period a year ago,
Mahindra & Mahindra Ltd. is an India-based mobility products and farm solutions, provider. The Company’s segments include Automotive, Farm Equipment, Financial Services, Real Estate, Hospitality and Others. The automotive segment comprises of sale of automobiles, spares, mobility solutions and construction equipment. Its Farm Equipment segment comprises of sale of tractors, implements and spares. Financial Services segment comprises of offering financial products ranging from retail and other loans, housing finance, mutual funds and insurance broking services. Real Estate segment comprises of projects, project management and development, and operating of commercial complexes. Its Hospitality segment comprises of sale of timeshare and vacation ownership. Its Others segment include after-market, defense and steel trading. It provides taxi service through its subsidiary Meru Travel Solutions Pvt Ltd.