Just the other day, Hero Electric, which until recently was the top seller of electric two-wheelers in the country, suffered a setback in its claim against Hero MotoCorp. The latter has a court nod to using the ‘Hero’ brand for their EVs.
Hero Electric has filed the application that it alone, which has been in the EV market for a long time, should be allowed to keep the ‘Hero’ trademark, which in the automobile scheme of things in India enjoys a lot of prestige. Anyway, relentless by the reversal suffered in the legal forum, Hero Electric announced the launch of its first batch of electric scooters from the Pithampur factory of the Mahindra Group in Madhya Pradesh.
Hero Electric, remember, is in a 5 year partnership with Mahindra Electric as part of their growth and expansion plans. Hero Electric’s Optima and NYX are said to be manufactured at the factory in Pithampur.
Ongoing JV to achieve production target
In addition to sharing space for building vehicles, the two companies are also working on a common platform that will allow them to jointly share the supply chain for all new electric offerings.
Sohinder Gill, CEO of Hero Electric, said: “We strongly believe in like-minded strategic partnerships to deliver real value products in electric mobility. Partnering with Mahindra is one such alliance that we are proud of.”
He added that the two teams are working closely together to seamlessly integrate the manufacturing process and offer the customer the same level of overall quality that is produced at our Ludhiana factory.
The merger is close to reaching the half-million production capacity that the two companies had planned a few months ago.
The joint venture, valued at around US$20 million (approximately Rs 150 crore), would be for five years and aim to produce one million electric vehicles annually by the end of 2022.
In addition, the joint venture would also seek to electrify Mahindra’s joint venture with Peugeot Motorcycles. The company plans to launch bikes from this venture beyond Indian shores, with a special focus on Europe. For the record, Hero Electric has its own manufacturing facility in Ludhiana, Punjab.
Hero Electric has partnered with companies such as Bolt, ElectricPe and Log9 to improve charging infrastructure in the country. It has entered into an agreement with Sun Mobility to offer battery-swap e-scooters.