The latest electric cargo vehicle from Mahindra, the Zeo, which is a zero-emission option, is being offered in the sub-2 tonne category. It comes in two variants, with prices beginning at INR 7.52 lakh (ex-showroom, across India).
On Thursday, Mahindra Last Mile Mobility (MLMM), a branch of Mahindra & Mahindra, ventured into the electric small commercial vehicle (eSCV) market by unveiling the Zeo. This newly introduced electric cargo vehicle belongs to the sub-2 tonne category and comes in two versions, with prices beginning at INR 7.52 lakh (ex-showroom, across India). The name ‘Zeo’ signifies the ‘Zero Emission Option,’ as explained by Mahindra.
Suman Mishra, the Managing Director and CEO of MLMM expressed that with only 1% of this vehicle segment currently electrified, their aim is to persuade customers to prefer electric vehicles (EVs) over internal combustion engines (ICEs), highlighting the economic benefits of EVs as the primary motivation for electrification. Mishra also noted that the Zeo was priced competitively to attain large-scale production and mentioned that the company had already received around 12,000 orders nationwide.
Mishra further remarked that electrification in the three-wheeler sector had been pioneered by their company, and she hoped to replicate this success in the eSCV segment, aiming for double-digit electrification rates within two years. She added that following this achievement, Mahindra anticipates gaining a significant market share with the Zeo, initially focusing on the domestic market but also planning exports to regions like Africa.
Despite the current low penetration rate of EVs in the less than 2-tonne commercial vehicle category at just 1%, compared to about 20% in the three-wheeler category, Mishra is optimistic about future growth and the introduction of entirely new platforms for their products as the market matures.
It is worth noting that in the traditional ICE small commercial vehicle (SCV) sector, Mahindra holds a market share between 14%-15% with its Jeeto product line. MLMM operates a robust network with over 300 dealers and 825 touchpoints across India, featuring other products such as the Treo range, Zor Grand, and e-Alfa.
This year, MLMM secured an investment of INR 400 crore from the India-Japan Fund (IJF), managed by the National Investment and Infrastructure Fund Limited (NIIF). Following a previous investment of INR 600 crore by the IFC last year, Mishra confirmed that they had received all scheduled investment tranches and planned to allocate funds towards research and development, network expansion, and sales without seeking additional funds for the time being.
The Mahindra Zeo is available in Flat Side Deck (FSD) and Delivery Van (DV) variants. The FSD model starts at INR 7.52 lakh for the V1 variant and INR 7.69 lakh for the V2 variant, while the Delivery Van is priced at INR 7.82 lakh for V1 and INR 7.99 lakh for V2. The vehicle offers two battery capacities—18.4 kWh for V1 and 21.3 kWh for V2—and is built on a 300+ V architecture. It provides 30 kW of power, 114 Nm of torque, a payload capacity of up to 765 kg, and a 2250 mm cargo box. It features a seven-year or 1.5 lakh km battery warranty, with a real-world driving range of 160 km. Mahindra claims substantial savings over diesel and CNG counterparts with this model, amounting to up to INR 7 lakh and INR 4 lakh, respectively.
Additionally, the Zeo is equipped with an AI-enabled camera-powered ADAS, offering features like Lane Departure Warning and Pedestrian Collision Warning, along with Hill Hold Assist and a Creep Function for managing stop-and-go traffic conditions.