Mahindra and Mahindra, set to define the very origin of India's automotive culture, now is on an all-new daring course. The organization now marks strategic initiatives that would effect aging changes in manufacturing power and majority holdership in the SUV and EV categories.
From the launch of a new vehicle platform to the construction of a world-class greenfield facility, Mahindra is set for a future powered by innovation, sustainability, and size.
New Vehicle Platform: Arriving This Independence Day
Mahindra and Mahindra will launch an all-new vehicle platform on August 15, 2025. This platform will not see just a single car into production. This new architecture will accommodate a family of future vehicles, including ICE as well as electric.
Why is this platform so important?
- Flexible architecture: Can handle multiple body styles and powertrains.
- Safety and technology orientation: Engineered with next-generation global crash safety norms and ADAS readiness in mind.
- Electrification-ready: Designed to support EV powertrains as well as traditional engines with ease.
To accommodate this platform, Mahindra will augment the production capacity of its Chakan factory by 120,000 units a year. This strategic expansion is aligned with growing demand for advanced SUVs and sustainable mobility solutions in India.
A New Greenfield Plant by FY28
In a bid to further raise production, Mahindra and Mahindra is setting up a new greenfield plant. The new factory will most likely become operational by the financial year 2027-28.
Major highlights of the greenfield facility:
- Location: Yet to be declared. The company is mulling over multiple states based on government incentives and support.
- Designed for growth: Primarily for passenger vehicle production, but capable enough for other segments.
- Capacity expansion: Part of Mahindra's intention to build up an annual capacity for 1 million units.
It will be yet another major milestone for Mahindra in its quest not only to scale up volume production but also to introduce cutting-edge manufacturing technologies in the Indian automobile industry.
Also Read: Maharashtra Electric Vehicle Policy 2025: Major Incentives and Advantages for EV Owners
EV Expansion at Chakan: A Specialized Facility
Earlier this year in 2025, Mahindra introduced a standalone EV production and battery assembly plant at its Chakan plant. The factory will be utilized to produce the company's new range of Born Electric (BE) SUVs, including the BE 6 and XEV 9e
The primary features of Chakan EV factory are:
- Sustainability driven design: 100% renewable energy used; water-positive.
- Automation: Installation of over 1,000 robots, robotic paintshops, and high-speed assembly lines for automation reasons.
- Inclusion & Diversity: With a goal of 25% women in the plant workforce, Mahindra is pioneering an inclusive manufacturing.
This EV campus forms part of Mahindra's ₹4,500 crore investment as part of its ₹16,000 crore FY22–FY27 plan that also includes investment in software, electric powertrain development, and R&D.
Adding Monthly Production Capacity
Mahindra and Mahindra is expanding monthly production from 61,500 units to 85,000 units by FY26. This also includes enhanced capacity for new models like the XUV3XO and the Thar Roxx.
Enhanced capacity is essential to:
- Reduce waiting times
- Provide high-demand cars in a timely fashion
- Give Mahindra the bandwidth to penetrate export markets more aggressively
Why This Trends Matter to the Indian Automotive Industry
These recent exposures by Mahindra are not isolated efforts; extensions of a giant shift in how Indian car makers are taking care of market requirements and mobility trends ahead.
Mahindra's strategic priorities are:
- Doubling down on SUVs: Bolstering its SUV portfolio with the new generation of platforms.
- Driving EV adoption: Setting up world-class EV manufacturing facilities in India.
- Creating jobs: Providing thousands of direct and indirect job opportunities.
- Attraction of investments: Through uncompromising innovation and manufacturing excellence.
By being ahead of the competition, the company intends to maintain its leadership position while, simultaneously, becoming a global household name in sustainable mobility.
Quick Overview of Mahindra's Expansion Strategy
|
Project |
Details |
|
New Vehicle Platform |
Going on stream August 15, 2025; future-proofed for EV and ICE |
|
Chakan Plant Expansion |
+120,000 units annually to enable platform and new models |
|
New Greenfield Plant |
Coming on stream by FY28; adds significant volume capacity |
|
EV Plant at Chakan |
₹4,500 crore investment; renewable energy and automation |
|
Monthly Production Target |
85,000 units/month in FY26 (increase over current 61,500 units/month) |
Conclusion
Mahindra and Mahindra is not just expanding its manufacturing foundation—it is forging new paradigms of automobile production for India. With a forward-looking vehicle platform, all-new greenfield plant, and state-of-the-art EV manufacturing capability, the organization is authoring new industry rules.
This expansion process also reflects the broader vision of the Mahindra group to create vehicles that not only are technologically advanced but also sustainable and competitive globally. With the firm on its way to achieving its 1 million-unit annual capacity goal, it further solidifies its reputation as a leading Indian automobile manufacturer that is on innovation, quality, and customer trust.
Whether it's SUVs, EVs, or future platforms, Mahindra is making one thing clear—it's here to drive, not follow.
Also Read: April Car Sales 2025: SUVs and EVs Lead the Way as Small Cars Stall
Follow Autonexa Whatsapp Channel to stay updated with the latest happenings in the automobile industry.
