Mahindras eye higher share in heavy duty trucks’ market

Briefing more about their expansion plans, Pawan Goenka, M&M Executive Director said that with the plan of launching these five new products, the company is aiming to double the HCV segment to a respectable 5-6 percent level as presently the company is having a very low market share of HCV i.e.6-2.7 percent.

“We are a relatively new player in the HCV segment”.

The company is planning to strengthen its position in the market in heavy commercial vehicle space by expanding its product portfolio and distribution networks, Mahindra and Mahindra executive director Pawan Goenka told reporters on Wednesday. “And in another two to three years, our target is to roughly double our market share to 5-6 per cent in this segment”, he said.

Goenka said the government’s Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) initiative has boosted the electric cars segment and sales have doubled after the policy was adopted.

“We do not have a presence in the 9-16 tonne truck segment; while in the 5-7 tonne segment our products are quite old”.

“The new truck in the 9-16 tonnes category should be ready in two and a half years time and will help us enter into the space where we are not present at the moment”. He said on an average the company spends Rs 2,500 crore as annual capex.

In the utility vehicles segment, it has targeted to capture another 3-4 percent market share from the existing 35-36 percent.

Mahindra & Mahindra is also looking to start export of its electric auto to the United Kingdom around March-April next year. Except exporting 25 electric vehicles branded as E20 to Nepal, it does not export so far.

To a question on whether any investments were being planned for West Bengal, he said that there was no immediate need for new capacities, but the group was making a small investment of around Rs. 150 crore for setting up a spare parts distribution centre in Kharagpur.