Mahindra drives SsangYong to India with Rexton launch

Home-grown auto maker Mahindra and Mahindra today launched sports utility vehicle (SUV) Rexton, the first vehicle from the stable of South Korean firm SsangYong.

Mahindra had bought a controlling stake in SsangYong in March 2011.

The Rexton is priced at Rs. 17.67 lakh and is the first vehicle under the SsangYong banner to roll out from Mahindra's Chakan facility near Pune.

The vehicle was first unveiled at the Busan Motor Show in Korea, and is now on sale in 66 countries.

"This is the best possible market for SsangYong," said Yoo-Il Lee, SsangYong's chief executive officer. "I am very confident that India will become SsangYong's second-largest export market," he added, without providing details.

Mahindra dominates India's increasingly crowded SUV market, where it sold four times as many of the vehicles than its nearest rival, Tata Motors Ltd, in the last fiscal year that ended in March.

The South Korean firm, which was close to bankruptcy before Mahindra paid $460 million for a majority stake in March 2011, plans to bring more models to the country over the next few years, chairman Pawan Goenka said.

"The third-generation, high-end Rexton has carved out its own niche in 66 countries around the world, including Europe, Russia and Korea," Mr Goenka said.

"The launch of the much acclaimed XUV 500 last year helped Mahindra stamp its presence on the segment of premium SUVs. The Rexton will be the first SUV from the SsangYong portfolio brought to the Indian market by Mahindra. With the launch of the SsangYong Rexton, we hope to further expand the Mahindra presence in the high-end SUV segment," Mr Goenka added.

The Rexton will compete directly with the likes of the Toyota Fortuner, the Ford Endeavour, the Chevrolet Captiva, the Mitsubishi Pajero and the Renault Koleos.