M&M in Talks for Electric Vehicle Plant in Kerala

Mahindra and Mahindra (M&M) is in advanced discussions with the Kerala government to establish an electric vehicle (EV) manufacturing unit in the state. Known for its high EV adoption rates, Kerala presents an attractive opportunity for M&M, particularly in the lead-up to the state’s Global Investment Meet (GIM) scheduled for February next year.

Kerala Industries Minister P Rajeeve confirmed the negotiations, highlighting the state's leadership in the EV market as a key factor in attracting interest from major companies. “Kerala’s position as a top EV market is drawing significant attention. Mahindra will be discussing the potential project next week,” Rajeeve told Business Standard.

The state boasts the highest EV penetration in India, with 5.2% for passenger vehicles and 13.5% for electric two-wheelers, surpassing other major states. Kerala’s infrastructure, including the Vizhinjam container port and a developed EV ecosystem, further enhances its appeal as a potential manufacturing hub.

Although recent reports suggested a joint venture between M&M and Shaanxi for a car plant in Gujarat, M&M clarified the news as inaccurate. Instead, the company’s focus remains on solidifying its plans in Kerala.

As Kerala gears up for the GIM, the state is organizing roadshows in major cities to attract investments and establish itself as a high-tech hub, leveraging its skilled workforce and commitment to advanced technologies like AI and robotics.

News by Rahul Yelligetti