Mahindra Expands Capacity Amid Rising SUV Demand

Mahindra Capacity Expansion is taking center stage as the automaker moves to meet rising SUV demand across India.

The company has declared that it will expand its production capacity in its Chakan and Nashik plants due to the good sales impetus and consistent orders inflows that had pushed the current output levels. The automaker is responding quickly to ensure that it fills its supply gap as the waiting time of various models remains high.

This growth will open an increment of 6,000 to 7,000 units per month by FY27 by making its Chakan and Nashik plants easier to manage. This is made up of the scaling of each internal combustion engine models as well as electric vehicles, and this is a mirror image of growth by segments. The company will include approximately 3,000 to 5,000 units every month of gas-powered SUVs and 3,000 to 4,000 units of EVs.

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This Mahindra Capacity Expansion is based on the fact that the company has been performing well on a quarterly basis, which has been backed by increased volumes of the SUV and a better operating leverage. The carmaker has been enjoying market share in the utilities car that has been boosted by steady demand of its new models.

The EV initiative was also given a boost by Mahindra, and some of the models they created were also eligible under the government PLI initiative and provided a helping hand in enhancing cost efficiency and competitiveness. Increased production will enable the company to reduce delivery periods, seize unsatisfied demand, and establish and increase its presence in the booming Indian SUV market.