Mahindra and Mahindra may have just broken ties up with Renault, but are committed to launch more cars. Mahindra is planning to invest over Rs. 1,000 crore in developing small cars. According to soures Mahindra is developing small cars that are internally codenamed S101, S102 and S103.
The new platform for the small car is being developed in-house. Pawan Goenka, president, auto & farm equipments, Mahindra & Mahindra, is spearheading the project.
Mahindra will launch small cars by 2014 and will have cars in the price range from Rs. 2.5 lakhs.The small car will complement Logan and its future variants. Mahindra could also look at REVA products to develop small cars on similar lines.
From December the Logan will be re batched as Mahindra and could also sport a new name. Mahindra will surely do a Logan CS so as to get the car under 4 meters and it will more affordable. Also sourcing engines from Chennai could help bring costs down and the Logan will be more affordable.
Mahindra currently a dominant player in the UV and SUV is now looking at the car segment seriously. The Indian auto sector is predicted to have 2.4 million cars on road by 2014.