Hero Electric, Mahindra Group team up to manufacture electric vehicles

Electric two-wheeler maker will use latter's production facility to raise capacity

Hero Electric, India’s largest electric two-wheeler maker, has struck up a five-year strategic partnership with the Mahindra Group, marking the first such deal between an electric vehicle (EV) maker and a traditional internal combustion engine company.

The move comes at a time when EV sales in India have touched a record high.

The partnership will help Hero Electric, which has a close to 36 per cent share in the EV two-wheeler market, to more than double capacity to 1 million units by 2022 and will result in extra revenue for M&M at a time when auto sales have slowed.

According to an exchange