Mahindra & Mahindra (M&M) and Israel-based REE Automotive on August 26 signed a memorandum of understanding to explore development and manufacturing of electric commercial vehicles for global markets.
The partnership will aim to leverage REE’s electric vehicle corner module and platform technology. It will also aim to integrate powertrain, suspension and steering components in the arch of a vehicle wheel, a release from M&M stated.
This technology, which includes autonomous driving, will be explored on M&M’s commercial vehicles.
M&M and REE shall over the next few months hold discussions to detail out and finalise the technical, commercial, and other terms of the arrangement.
The partnership will support REE’s global customer need for 2-2.5 lakh electric commercial vehicle units over a few years, including Mahindra’s potential domestic and international volumes. Production would be scaled further to support additional volume in the global as well as Indian market.
Rajesh Jejurikar, executive director (auto and farm sectors), M&M, said: “The competitive advantages of REE’s corner modular architecture with our experience in conventional vehicle system design, engineering, sourcing ecosystem and significant production capacity, provides a perfect match to deliver exciting zero emission vehicles, including autonomous vehicles, that can meet customer needs as never before.”
Mahindra is the second largest commercial vehicle maker in India behind Tata Motors. It is also one of India’s biggest small and light commercial vehicle makers with products starting with 0.5 tonne payload capacity in three-wheelers to mini four-wheeler trucks to pick-ups.
M&M has launched electric passenger three-wheelers, passenger four-wheelers and cargo vans. Tata Motors is yet to roll out electric commercial vehicles into the market.
Daniel Barel, co-founder and chief executive officer, REE Automotive, said: “Mahindra’s unique cost structure, design and engineering capabilities and volume flexibility will be key to our ability to address the majority of the commercial EV market with both large volume vehicles as well as more targeted mission-specific vehicles.”The scalability of the platform makes it ideal for any form of electric vehicle such as commercial vehicles, mid-duty delivery trucks, last mile delivery, passenger cars, taxis and shuttles, M&M added in the release.