5 July 2005
M&M launches tractors in China
- By CRISILMarketWire
Mumbai, July 4: Auto-maker Mahindra & Mahindra Ltd. has launched its tractors in China, through a joint venture between its wholly-owned subsidiary Mahindra Overseas Investment Co. (Mauritius) and Jiangling Motor Co. Group, M&M said on Monday.
“This will help us manage our operational costs and offer us excellent connectivity and infrastructure, critical to our operations,” said Anjanikumar Choudhari, president, Farm Equi-pment Sector, M&M.
The JV had earlier acquired the tractor manufacturing assets of Jiangling Tractor Co., a subsidiary of state-owned Jiangling Mot-or Co. M&M has a 80 per cent stake in the JV, and is investing $8 million out of the estimated total investment of $10 million.
The plant has a production capacity of 12,000 tractors a year. The unit would cater to the domestic Chinese market, between 18-33 HP, under the Fengshou brand and 60 HP tractors under the Mahindra brand.