[Elevate2024]

I don't think Ford leaving was due to Mahindra, it was more of keeping up with BS6 regulations. Several carmakers who were already struggling with their operations decided to shut shop. Ford, GM, FIAT they all left at the similar time along with Japanese carmakers stopping diesel engines altogether.

Though I never understood much about what would have been gained by VW with Mahindra partnership as if they were only looking to get localisation sorted, they are already in India for nearly 2 decades now and should have solved that puzzle by now.

[su1978]

Originally Posted by TusharK

According to a media report, Mahindra and Skoda Auto VW India have failed to reach a consensus over the terms of a proposed joint venture.

Attachment 2684978

Mahindra & Mahindra and Skoda Auto VW India have already signed a series of nonbinding memoranda of understanding (MoUs) over the past few months. The report states that a few more were supposed to be signed at the end of this month. However, the discussions seem to have slowed down.

The VW Group’s India business is looking for a partner to share development costs and risks. But, as per the latest reports, Mahindra is reluctant to compromise, given its stronger position in the domestic market.

It appears that Mahindra, with its past experience of negotiating a joint venture with Ford, is playing it safe this time. That being said, the VW Group is said to have agreed to share components of the MEB platform with Mahindra.

There has been no official word from either of the parties regarding the current status of the negotiations.

Source: ET Auto

Link to Team-BHP News

Mahindra, being the stronger of 2 partners is trying to dictate terms here. Last time they did the same with Ford. Mahindra never had the capability to develop petrol engines. Neither had they the capability to develop a vehicle with good road manners. They are already aware that sooner or later, Skoda VW group, due to being a foreign player, will not be able to survive in India and they will wrap up their India operations. The ultimate selfish motive of Mahindra is to acquire as much technological know-how and dump them.

They already have some court cases pending against them in US and Australia.

[xjosephjacob]

Here's how I imagine Mahindra's JV conversations go, given their legendary JV history (thought I don't know why they actually failed):

***************
Mahindra: Hey GlobalAutoCorp, let's team up ! We'll learn a lot from you about making vehicles, take you around India, and we'll bring our talent of naming vehicle with an O at the end. Win-win right ?

GlobalAutoCorp: "Sounds great ! We'll share our technology, processes and expertise to make this a successful JV"

Mahindra: "Fantastic! By the way, we're excellent learners. Just a quick peek in to your designs and engineering should do the trick."

GlobalAutoCorp:"Sure, take all the time you need. We're in this for long haul! What would you call our next SUV"

Mahindra: "Adios-O"

***************

[shobhit.shri]

If VW-Skoda needs more investment, why haven't they considered an IPO of their Indian subsidiary? This would help them raise funds, and pressure from public markets could provide their management with additional incentives to perform better.

[BoxBox]

Originally Posted by saikishor

Good for VW, given Mahindra's past record of disastrous joint ventures. On another note, why cant VW find someone like JSW just like MG? I mean, VW is a giant and needs no assistance in vehicle development. All they need are funds, so why not try someone like JSW? When someone with as much as expertise as MG can partner with JSW, I think it should be easy for VW too, given their expertise in automobiles.

Agree. Weren't Reliance eager to get into automobile manufacturing?

It can be a good JV for both Reliance and VW, where VW benefits from Reliance's deep pockets, excellent reach in the country, and decent marketing, and on the other hand Reliance benefits from VW's technology and know-how in auto manufacturing, future tech (electric), robust cars, - helping project Reliance as a proper auto brand + shedding their image of mass product company and foray into premium products for the masses. Seems win-win

[chakravorty]

Originally Posted by BoxBox

Agree. Weren't Reliance eager to get into automobile manufacturing?

It can be a good JV for both Reliance and VW, ...

You mean a Jio car? Nope, thank you.

[Kosfactor]

Good timing! Perhaps they don't need VW as much as they thought initially, it's probably the other way around.

https://youtu.be/ulv7vebJVYw?si=FNZQ01fMnLQ_oYD_