Brexit hits Mahindra e2o exports

Britain’s decision to exit the European Union is having its impact on sales of Mahindra Electric’s e2o in the United Kingdom.

Speaking to Autocar Professional at a media conference in Bangalore today, Arvind Mathew, CEO, Mahindra Reva, said the company had launched its e2o electric car in the United Kingdom in April this year. But the announcement on June 23 of Britain breaking out from the EU has created unstable business conditions in Europe. This has also affected Mahindra Electric’s exports of the e2o to the UK. Thus far, Mahindra Electric has shipped a little over 50 cars to the UK.

“Our idea was to sell our electric cars in the UK while also exploring the market in continental Europe. We expect the present condition to stabilise in two years. However, we will keep shipping e2o cars to the United Kingdom despite the present turmoil in Europe,” said Mathew.

Mathew was addressing media persons in Bangalore to reveal the company’s rebranding plans along with future sales and promotional activities. He said the company has recently rebranded its electric mobility portfolio as Mahindra Electric. Under the umbrella Mahindra Electric brand, the company will manufacture electric cars, license out its electric vehicle technologies, electrify its new and existing platforms and help deliver integrated zero-emissions mobility solutions.

Mathew (pictured above in the centre) added, “As the pioneer of electric vehicles and integrated mobility solutions in India, we have laid out a clear roadmap for the electrification of our range of vehicles to reduce emissions and build an eco-system for electric mobility in India. With the FAME scheme, the government has already set in motion a conducive environment and hence we expect faster adoption of electric vehicles in the country. I am confident that progressive government policies as well as speedy and adequate infrastructure development will enable us to embrace new technologies that are green and sustainable.”

He also said the company has seen substantial growth in its electric vehicle sales in the financial year 2015-16 as compared to the previous fiscal. Without detailing the sales numbers, Mathew said the company has been doubling its sales every year.

Mathew, as is known, is set to step down from the top position at Mahindra Electric and is likely to take on a new role in the Mahindra Group. Mathew will be replaced by Mahesh Babu, who has been serving as the chief operating officer of Mahindra Reva since January 2015. Babu was instrumental in developing the XUV500 and was its project head.

In all, Mahindra Electric sold over 6,500 cars with current sales being carried out in cities like Bangalore, Pune, Delhi, Mumbai and Jaipur. The company has been exploring opportunities in Kerala, Madhya Pradesh, Chandigarh, Chattisgarh and Pondicherry.

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