Mahindra closely monitoring Hybrid tech for future vehicles
Mahindra plans to expand its traditional SUV business while increasing its focus on electric cars (EVs). The corporation also revealed its ambitions to adopt the hybrid technology if it considers it appropriate.
Anish Shah, Managing Director and CEO of Mahindra said, "At this point in time, we feel good about the focus on EVs but from a consumer demand standpoint, if that becomes a bigger factor, we will be ready for hybrids too. We are looking at hybrid technology closely and we will continue to adapt as it moves on"
He further went on to mention that it would be more expensive to produce hybrids as 2 separate powertrains are fitted to the vehicle. India currently charges a 28 percent goods and services tax (GST) on ICE-powered cars, including hybrids. For EVs, however, that figure is only 5 percent.
Last month, Union Minister Nitin Gadkari expressed his views on the issue and has asked the Finance Minister to bring the 28 percent down to 12 percent for hybrids as they have an electric motor that makes them not as harmful to the environment as a regular ICE powered vehicle. A number of manufacturers including Mahindra are banking on this to be passed so it could be more affordable for them to develop hybrids.
Mahindra plans to invest Rs 12,000 crore in EVs over the next three years, and Rs 14,000 crore on conventional ICE. The latter will include six new SUVs and three model revisions by 2030, the business announced on Thursday when reporting its Q4 results for FY24.
Mahindra's consolidated net profit increased by 4 percent to Rs 2,754 crore in the quarter ending March 2024. The firm made a profit of Rs 2,637 crore during the same time previous year.
Mahindra's latest offering the XUV 3XO recently went on sale and within the first 1 hour itself, they secured 50,000 bookings.
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