Mahindra eyes big electric vehicle sales jump
Mahindra & Mahindra expects to reach 11,000-12,000 monthly electric SUV sales by March 2027, potentially closing the gap with market leader Tata Motors. The company is currently producing around 8,000 electric SUVs a month, with existing capacity fully utilized.
Mahindra plans to ramp up EV production to 12,000 units per month by February-March 2027, implying a potential 50 per cent increase in monthly volumes. Rajesh Jejurikar, Executive Director and CEO, Auto and Farm Sector, Mahindra & Mahindra, stated that the company is hoping to move to the region of 11,000-12,000 a month of electric SUV volumes.
Market Comparison
VAHAN data shows that Tata Motors registered 1,17,547 electric passenger vehicles between January and October 2026, averaging 11,755 units a month. Mahindra registered 66,945 units during the same period, translating into monthly registrations of 6,695 vehicles.
If Mahindra achieves its goal of 12,000 units per month, it could narrow the gap with Tata’s monthly sales. However, Tata’s October registrations were 14,552 units—well above Mahindra’s 8,472 for the same period.
Captaincy-led Growth
Mahindra plans to increase its combined monthly SUV production capacity from 64,500 units at the end of FY26 to 82,000 units by FY27-end, comprising 70,000 conventional SUVs and 12,000 electric vehicles. They will add an additional 10,000 units of NU_IQ platform capacity at their Chakan facility.
The company plans five launches in the first half of calendar year 2027, including a NU_IQ-based SUV, an all-new electric SUV, an SUV refresh, the Scorpio Lifestyler pickup, and a new light commercial vehicle. Mahindra sold 23,345 electric SUVs in the second quarter of FY27, accounting for 12.7 per cent of its total SUV volumes.
As Mahindra expands its EV production, it is also focusing on ownership economics. Addressing concerns around EV resale values, Jejurikar said consumers should assess electric vehicles on the basis of total ownership costs rather than residual values alone. The expansion comes at a time when automakers are grappling with rising copper and rubber prices, as well as supply-chain constraints.
Mahindra implemented a weighted average vehicle price increase of 0.4 per cent in October to offset some of these pressures. The company’s automotive business reported a 55 per cent year-on-year rise in consolidated profit to ₹2,388 crore in the second quarter. Mahindra has maintained its guidance of mid-to-high teens SUV volume growth for FY27, with upcoming capacity additions expected to play a role in converting strong demand into higher sales.
Rajesh Jejurikar stated that the company’s goal is to increase its market share in the electric SUV segment. They are working to achieve this goal by expanding their production capacity and introducing new models. The company’s efforts to increase its market share are expected to continue in the coming months.
