Volkswagen, Mahindra Partner to Explore Use of Modular Electric Drive Matrix Components

Both parties announced today that they have signed a Partnering Agreement on 18th May to evaluate the scope of collaboration. Mahindra intends to equip its “Born Electric Platform” with MEB electric components such as electric motors, battery system components and battery cells.

Auto companies Volkswagen and Mahindra & Mahindra (M&M), on Thursday, announced a partnership to explore the use of MEB (modular electric drive matrix) electric components for Mahindra’s new “Born Electric Platform”. This agreement will evaluate the binding rules for the evaluation phase as well as the non-binding scope of supply, the companies said in a joint statement.

The shared objective of the two companies is to electrify the Indian automotive market, one of the most important automotive growth markets and a key element in the global decarbonisation of the mobility sector.

The binding supply agreement will be negotiated and concluded by the end of 2022, it said.

With this partnership, Mahindra intends to equip its “Born Electric Platform” with MEB electric components such as electric motors, battery system components and battery cells. 

The MEB electric platform and its components allows car manufacturers to build their portfolio of electrified vehicles, quickly and cost-effectively.

“It’s another proof point that the MEB is both technologically state of the art and highly competitive in terms of cost. The MEB is thus progressively developing into the leading open platform for e-mobility, generating significant volume and economies of scale. That’s crucial for every company in the EV world and the key to competitive solutions for our customers,” said Thomas Schmall, Volkswagen Group Board of Management member for Technology and CEO of Volkswagen Group Components.

India is one of the Global Top-5 Automotive Markets with about three million vehicles per year. According to current forecasts, the market could grow to up to five million vehicles by 2030. So far, the market has been dominated by vehicles with diesel or petrol engines.

“The complementarity of their extensive technology, innovation, and vertical integration in supply chains, will provide a framework to develop our next gen “Born Electric Platform”, to be revealed soon in Oxfordshire UK. Our teams across India, UK and Detroit are passionately creating a breath-taking future,” said Rajesh Jejurikar, Executive Director, Auto and Farm Sectors, Mahindra & Mahindra Ltd

At the 2021 Climate Summit in Glasgow, India undertook only to register zero-emission passenger cars and vans, starting in 2035. As a result, the electrification of the passenger car segment is expected to gain significant momentum in the coming years. Industry experts anticipate that in 2030 more than half of all new vehicles will be fully electric.

"Mahindra is a pioneer in the electric mobility space in India and a great partner for our MEB Electric Platform. Together with Mahindra, we want to contribute significantly to the electrification of India, a huge automotive market with enormous growth potential and high relevance for climate protection," added Schmall.

May 19, 2022