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Mahindra Sees Robust SUV, EV Demand; Tractor Growth to Moderate
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CNBC TV18•22-09-2026, 11:16
Mahindra Sees Robust SUV, EV Demand; Tractor Growth to Moderate
- •Mahindra & Mahindra (M&M) reports strong demand for SUVs and electric vehicles, maintaining earlier growth expectations for these segments.
- •Tractor growth is anticipated to slow to mid-single digits due to a higher base, delayed monsoon, and reservoir pressure, though M&M retains its 5% full-year industry growth outlook.
- •M&M is experiencing strong EV demand, selling 7,000-8,000 electric SUVs monthly, and plans to boost capacity by 4,000 units by March 2027.
- •The company is increasing monthly production capacity to address long waiting periods but faces potential supply-chain disruptions from global volatility.
- •M&M has raised vehicle prices by 6-7% this year and may implement further measured hikes if commodity prices remain elevated.
Key Questions Answered
Mahindra & Mahindra expects its SUV portfolio to grow in the mid-to-high teens range, staying firmly on track with its initial yearly targets. Meanwhile, light commercial vehicles (LCVs) are projected to achieve high single-digit growth close to 9-10%.
Tractor growth is expected to settle into the mid-single-digit range due to a higher base, delayed monsoon conditions, and pressure on reservoir levels. Mahindra retains a full-year industry growth expectation of around 5% while closely monitoring the upcoming festival season.
Mahindra is currently selling around 7,000 to 8,000 electric SUVs per month, matching its existing production capacity. The company plans to increase its EV manufacturing capacity by another 4,000 units by March 2027.
