Mahindra is targeting 13-17 percent of its sales to come from EVs by 2027. During the company’s FY2026 earnings call with the media, Rajesh Jejurikar, executive director and CEO of the Auto and Farm Sector at Mahindra, stated that the share of the automaker’s pure-electric models has now grown to double-digit percentages.
CAFE III norms: What is Mahindra planning next?
The proposed Corporate Average Fuel Efficiency (CAFE) III regulations, set to come into force on April 1 next year, will require automakers to meet more stringent fleet-wide fuel efficiency and CO2 emission targets. “It is the sale of electric vehicles as a part of our passenger vehicle portfolio, which happens to be only SUVs,” Jejurikar highlighted.
Considering its SUV-heavy portfolio, Mahindra plans to accommodate the upcoming CAFE III norms by increasing the sales contribution of its pure-electric models. “We were already at around 9.5 percent, [and] the last two months have been [at] 11 percent plus. So, we should comfortably be able to meet the requirements.” While the automaker sold about 16,600 pure-electric models in FY2026, the contribution of EVs needs to increase to 13-17 percent by April 2027, and it “needs to be somewhere 18-20 percent over a five-year period,” as per Jejurikar.
Mahindra currently has four electric models in its line-up – the BE 6, XEV 9e, XEV 9S and XUV 3XO EV. The push to increase the share of EVs within the automaker’s portfolio takes into account product planning and capital expenditure (capex) while also factoring in regulatory requirements. “The good thing about the capex is now it’s in blocks. It connects the need for EV penetration with our portfolio,” stated Jejurikar.
With inputs from Ketan Thakkar, Prerna Lidhoo and Shahkar Abidi
