Mahindra Eyeing China’s Electric Vehicle Market
According to Arvind Mathew, chief executive officer of Mahindra Reva Electric Vehicles Pvt Ltd, Mahindra and Mahindra Ltd.’s electric car unit is looking for a joint venture partner in China to manufacture and sell EVs.
“We are continuously looking at the Chinese market to build up scale,” Mathew said in an interview Thursday, declining to say whether Mahindra Electric is already in discussions with local companies. “The Chinese market is an attractive market as it has all range of electric cars, including two-wheelers, three-wheelers, cars and buses.”
For Mahindra, manufacturing in China is a necessary step because imported automobiles are subject to a 25 percent duty and don’t qualify for government subsidies, making them less attractive against locally produced vehicles. That’s especially for mass-market models such as those sold by Mahindra, which compete on price. China requires foreign automakers set up joint ventures with local partners to manufacture vehicles.