Mahindra owned Pininfarina Engineering to be liquidated

Due to the current pandemic, the firm lost business from both Hong Kong and Iran firms. Fate of 135 employees of the firm is now in limbo.

Some years back, Pininfarina spun off its technical centre in Turin into Pininfarina Engineering. Now, due to lack of orders and a general slowdown as a result of the pandemic, the Mahindra Group has decided to liquidate the company.

Pininfarina Engineering had been working on vehicle and platform development projects for Hong Kong’s Hybrid Kinetic group, Iran’s Khodro and Vietnam’s VinFast. The company had also been working on certain projects for Mahindra.

Due to the current pandemic, the firm lost business from both Hong Kong and Iran firms. Fate of 135 employees of the firm is now in limbo.

The decision to shut down Pininfarina Engineering was announced by Pininfarina SpA back in October. This was met by protests by employees and trade unions. Currently, negotiations are going on and Pininfarina has proposed absorption of 60 of the affected 135 employees for an internal engineering division. The employees have also written a letter to the Mahindra Group regarding the liquidation of the firm just 2 years after it was established.