Mahindra and Mahindra joins with Venture Partner Renault to launch new Vehicles in Indian Market.
Renault French auto major and Mahindra and Mahindra joins Venture in 2005 to manufacture the mid-sized sedan Logan to tap the growing demand for cars in one of the world's fastest growing economies.
Mahindra not able to attract customers and has fared poorly in the passenger car category with the Logan currently selling about 500 units a month and a sharp fall from 1,200 units till January this year.
Goenka said Mahindra has now redefined its business plan afte the economic slowdown. Mahindra and Goenka as reduced its capex by 10 percent from Rs.5,000 crore to Rs.4,500 crore, apart from putting new investments on hold for while.
Goenka is setting up another unit at Chakan, also in Maharashtra, that is expected to start production in November.
Mahindra and Goenka said they will start production in early November. The first product to be rolled out would be a light commercial vehicle, followed by a truck and a sports utilitiy vehicle (SUV).
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