Posted on 08/28/2009 1:12:17 PM PDT by OldSpice
Mahindra & Mahindra Ltd., seeking to dodge costly import duties on its pioneering India-made pickups, may buy an existing U.S. plant to build them.
Pravin Shah, Mahindra's executive vice president of international operations, told reporters today in New Delhi that such a purchase would be Mahindra's most economically feasible path.
"We are exploring various options," he said.
The comments signal a change in Mahindra's U.S. strategy.
In May, senior company officials said they would most likely avoid the 25 percent "chicken tax" on imported pickups by having a third-party manufacturer assemble the trucks here from knock-down kits.
Mahindra, which already makes farm tractors in Calhoun, Ga., plans to enter the U.S. passenger-vehicle market early next year with a compact diesel-engine pickup made in India.
Change of plans
Under the plan outlined in May, the company would import completed trucks at first and pay the 25 percent tariff. The company would then have the trucks assembled in the United States by an outside firm as volume increased.
In January 2008, project officials said they were close to announcing an agreement with an unidentified Ohio truck manufacturer to do the pickup assembly. Such an agreement was never announced.
Mahindra has changed its U.S. plans before. This summer, the company delayed its market entry for the second time. Originally, it was planned for early 2009. It was then delayed until fourth quarter 2009. Now it is slated for first quarter 2010.
Officials have attributed the setbacks to last-minute product changes requested by U.S. retailers and recommended by consultants at J.D. Power and Associates.
330 dealers
Dealerships have been built in Florida, Georgia and Ohio in preparation for the launch. Mahindra's independent distributor, Global Vehicles U.S.A. Inc. of Alpharetta, Ga., says 330 dealers have been signed to sell the trucks.
Last week, a dealer in Birmingham, Ala., declared his intention to become that market's second Mahindra dealer.
Following the launch of the pickup, Mahindra intends to introduce a compact diesel-engine SUV based on its Indian-market Scorpio, along with model variations to follow. All models will feature a four-cylinder clean-diesel engine.
Shah said the pickups will be "competitively priced," adding that the United States would become the company's largest export market in "some time."
Mahindra has planned a total outlay of about $100 million for the U.S. launches of the pickups. Shah said about $80 million has been spent.
I thought these were going to be here by now. I love the idea of a little diesel pick-up. I think Toyota really went the wrong way abandoning their little trucks.
![](http://images.google.com/images?q=tbn:R8sR7daexSBGmM:www.ted-kyte.com/3D/Pictures/Spark%2520Plug.jpg";)
Rest In Peace, old friend, your work is finished.....
If you want ON or OFF the DIESEL ”KnOcK” LIST just FReepmail me.....
This is a fairly HIGH VOLUME ping list on some days.....
should be interesting
I’ve seen what Cummins, Duramax, and International had to do to get HD diesels to meet USEPA 2010.
Big trucks are going up $7-10 grand in price just for emissions
My brother had a “Dodge” Ram 50 turbo diesel in the early 1980s.
I think it was a Mitsubishi under the badging?
Small and fairly sporty.
Pretty good for a daily driver.
I forgot to mention that’s why Ford, GM, and Dodge cancelled their half ton diesel programs, way too expensive an option.
Yikes!
I just checked Wiki.
It was a rebadged Mitsu.
84hp for the turbo diesel, though.
Must have been a very light truck.
Those late 80's Isuzu diesels were bullet proof. I tried to kill one and couldn't.
Aren’t the Duramax diesels really just a Japanese diesel?
I think they’re built at the old Isuzu/SIA (Suzuki?) plant just south of Lafayette, Indiana.
All of the “US” automotive is looking to Japan for small diesels.
They just don’t have the technology, investments or patents for their own, since they’ve been forced out of this market by regulations for some time.
The Duramax was a joint design between Isuzu and GM Powertrain. They are built in Moraine Ohio (near Dayton).
The Subaru factory in Lafayette In is strictly assembly, never did powertrain.
Isuzu left the joint venture in 2003.
I forget the engine but 2R seems to sound right.
IIRC, about 38 mpg.
Fun little truck.
You must be forgetting about Cummins........
I remember when Isuzu left the plant.
I think Toyota’s got some work in that plant now.
I was talking with a former GM guy (we’re a spinoff) and he thought the Duramax was being produced there.
I should have known.
We make the starters for them.
I’ve seen rice burners and now a curry burner!
They do make a nice looking tractor, better than the old LONG and Belrus commie brands.
I didn’t know Cummins made a small diesel?
This is an insult having the third world no less build pickups here. Special thanks to the Rotten Government and the UAW.
Spring Hill, TN has a relatively empty facility.
Don’t forget that the state governments will shell out hundreds of millions in incentives and tax abatements to get one of these foreign plants.
That type of “capitalism” has been going on for decades.
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