Mahindra sued by U.S. distributor over pickup delays

According to the Hindustan Times, Global Vehicles, the Atlanta-based company that is slated to be the exclusive U.S. distributor for Mahindra & Mahindra vehicles, alleges that more than $95 million has been spent on getting the country ready to buy the Indian Pik-Ups. The problem is, and has been, that Mahindra still hasn't provided any vehicles to sell. The Indian company is waiting on paperwork and testing for EPA approval to sell the trucks here.

GV is tired of waiting idly, and has brought a lawsuit against Mahindra for having missed two soft deadlines and two hard ones. GV claims the delay has been "inordinate," Mahindra says the lawsuit is "without merit." We say that no matter who's right, this is not the way to bring a truck to market.


[Source: Hindustan Times]

Mahindra delays launch in U.S. to late 2009

Truck shoppers hoping to grab a Mahindra pickup early next year are gonna have to wait a little longer. It seems the challenges of bringing an India-made vehicle to the U.S. are difficult, and the vehicles now won't go on sale in the U.S. before the fourth quarter of 2009.

Even though 324 dealers have signed up to sell the truck, few of them have actually built the needed facilities. That's not enough to keep Georgia-based Global Vehicles from going ahead with their plans to begin U.S. sales. But GV's CEO John Perez recenly spoke to Mahindra's global managing director Anand Mahindra who, according to Automotive News, said that no truck with his family's name on it was going to fail in the U.S. Mr. Mahindra plans to run a fleet of his company's vehicles over 3.2 million miles of U.S. roads before he'll be approve the trucks for sale here.

The plan is for the trucks to utilize a 4-cylinder diesel engine not yet approved by the EPA. But Perez says he has no fear their January application will have any trouble getting blessed.

While the trucks are getting some U.S. experience, Global Vehicles will continue to sign up new dealers, and hopes to have 450 by the end of 2009. The importer has a sales goal of 50,000 vehicles a year, though Mahindra says it could produce as many as 400,000 U.S.-bound trucks if demand is there. And if Mahindra's promise of 30 mpg holds true, there could be huge demand. If things go well, look for a diesel-powered Mahindra SUV to follow.

Mahindra not interested in HUMMER

Despite assurances from top GM brass, every bidder for the troubled HUMMER brand appears to be removing itself from the rumormill. Considered one of the strongest suitors interested in the off-road marque, India's Mahindra is the latest brand to pull out of consideration. According to Vice Chairman Anand Mahindra, "There has been a lot of speculation. I want to say categorically we are not pursuing HUMMER." That sounds pretty definitive to us, leaving Tata Motors as the only company from India still reportedly interested. Russian billionaire Oleg Deripaska has pulled his name out of the mix, as has China's Hunan Changfeng Motor Co. Until an official announcement is made, all of this is just speculation, but we have to wonder just how valuable the HUMMER brand could possibly be now that its sales have plummeted so far and so fast.

Mahindra "keen" to buy HUMMER

General Motors is already having meetings with its dealers regarding all the possibilities for its HUMMER brand. According to reports, there are several companies interested in making a purchase of the military-inspired vehicles, though Tata Motors now appears uninterested despite earlier reports. One suitor is said to be Mahindra & Mahindra, the Indian company that plans on making a big splash entering the American market itself over the next few years. Just-Auto quotes an unnamed official at the company who says "Mahindra is very keen on acquiring the Hummer." Hmm... Isn't it interesting how one little word can change the meaning of an entire sentence. Anyway, Mahindra already produces a vehicle that shares an eerie resemblance to the original GI-spec HUMMER that it sells to the Indian military.

Currently, the vast majority of Hummer sales are made in the States, but Mahindra doesn't sound worried about that. "The U.S. market might not be able to afford their own HUMMER any longer, but India is a growing and strong economy. When Indians like something we go out and get it, no matter what the cost, because we know how to make it work for us," according to an unnamed source. Uh huh... good luck with that.

REPORT: Tata and Mahindra interested in HUMMER

Got an automotive brand to sell? It doesn't matter how it's performing in the marketplace, whether its products are outdated or just not popular in the present buying climate. If you've got one, an Indian automaker wants to buy it. At least that's the way it seems after learning that two Indian automakers, Tata and Mahindra, have approached General Motors to purchase the HUMMER brand. GM only announced that it would begin considering what to do with HUMMER this week.

Tata has already gobbled up Jaguar and Land Rover from Ford, but apparently is still hungry for some more American-owned metal, and what's more American than HUMMER? Mahindra, meanwhile, will be bringing its diesel-powered Appalachian pickup to the U.S. market by the end of 2009. Tata and Mahindra tend to go after the same things, as both were bidders for Jaguar/Land Rover and both are competing for the right to own motorcycle manufacturer MV Agusta. Of course, neither India-based company is commenting on their interest in HUMMER and GM's all like, "Whoa, we just said we were thinking about it" (not an actual quote). HUMMER sales last month fell 60.2% last month compared to May 2007, and with gas prices going up and up, the poster brand for insensitive consumption may not have long to live under the GM corporate umbrella.

Mahindra buys Italian design firm

Indian auto manufacturer Mahindra & Mahindra Ltd, has acquired Italian auto design and engineering firm GRD. The move indicates Mahindra’s desire to go global with their future products.

Financial details of the deal with Turin-based G.R. Grafica Ricerca Design (GRD) were not revealed.

"This acquisition will help us strengthen our existing design capabilities, help us emerge as a global auto design powerhouse [and] provide a solid European footprint," said Pawan Goenka, president of Mahindra’s automotive unit.

The company will be renamed Mahindra Graphic Research and Design after all the formalities are complete.

Mahindra manufacturs Utility vehicles and tractors. They are one of the key players in the Indian automobile industry and have partnered with Renault for manufacturing the Logan. Mahindra’s Scorpio SUV is sold in the U.S by Global Vehicles USA, and is also planning to launch the hybrid version of the SUV sometime later this year.