XUV 500 met with such an over whelming response in the domestic market that Mahindra & Mahindra is delaying the launch of its Sports Utility Vehicle in the overseas market. The manufacturer has also decided to upgrade its production capacity at its Chakan plant to reduce the waiting period from the current 17 weeks.
Speaking at 3 day Asia Pacific Automotive Engineering Conference orgnaised by SaeIndia in Chennai, Pawan Goenka, president (automotive & farm equipment sectors) commented “We will have to delay the launch in other markets, both in the country and overseas, by not more than three months. We are overwhelmed by the response we have got in just seven days of the launch.”
He also commented on company’s decision to postpone the vehicle’s launch in export markets. “Earlier we planned in six months, this will be delayed now for few more months.”
The company planns to launch the SUV in Australia, Chile, Sri Lanka, Nepal and parts of Western Europe.
The company had initially planned to manufacture 2,000 vehicles a month and has now decided to upgrade the facility. “Final number will be decided in the next few weeks,” he said. Regarding the company’s investment plans, he said that so far M&M has invested Rs 650 crore in the product, excluding Rs 200 crore invested for drivetrain. The company also invested a whopping Rs 2,500 crore in its Chakan plant to manufacture four models (including XUV500).