This will reduce product development costs and gain economies of scale for both companies, he added.
Jim Farley, president of Ford New Businesses, Technology and Strategy, said with the new pact the company would not only strengthen its ongoing partnership with Mahindra, but also sharpen its competitiveness in an important emerging market like India.
“Ford’s technological leadership, combined with Mahindra’s successful operating model and product prowess, will help us deliver a vehicle that will meet the expectations of customers in India as well as other emerging markets,” he added.
The strategic alliance between the two companies is focused on leveraging the benefits of both companies — Ford's global reach and expertise and Mahindra's scale and successful operating model in India, he said. Teams of both companies are collaborating on all areas of mutual interest including electrification, distribution and product development.