MUMBAI, India – A legal battle between India’s Mahindra & Mahindra and its sole U.S. distributor has thrown into doubt its planned December launch of two mid sized diesel pickup trucks in the United States.
Managing director Anand Mahindra said last week the company now has no date for the U.S. launch. Regulatory delays pushed back earlier deadlines.
We’re still interested in getting into the U.S., Mahindra said in an interview, declining further comment because of the legal case. We don’t want to turn this into a war of words.
The company’s sole U.S. distributor, Global Vehicles USA Inc., maintains that Mahindra improperly terminated its contract in June after a failed takeover offer.
The bottom line here is Mahindra now believes this is a huge project. They want us out of the way so they can go direct and save the money we were going to make, Global Vehicles chief executive John Perez said Friday.
Global Vehicles filed a case in federal court in Georgia on June 14, claiming that Mahindra had violated its contractual obligations and urged the court to block any other U.S. distribution of Mahindra products.