NEWS: Mahindra Cancels TR40 Pickup for U.S. Market, Can't Meet U.S. Regulations

July 12, 2012
Mahindra TR40 Doors Open
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Indian automaker Mahindra & Mahindra announced it has ceased efforts to bring the TR40 pickup to the U.S. The automaker has spent $100 million since 2006 trying to meet U.S. regulations. Mahindra cites tough U.S. regulations and changes in market conditions to explain why development on the truck is stopping. The news comes a month after the automaker wasn’t able to obtain the certification required to bring the TR40 to the U.S. market, Reuters reports. The statement, included as part of a release about Mahindra’s international exports, is here: “Since 2006, M&M Ltd. has been working on the development of a vehicle for the US market. However, it recently decided not to proceed further with the project due to changes in the US regulatory and market situation. M&M will continue to monitor the US situation and remain flexible with its approach to this market.” Last year, the four-wheel-drive TR40, powered by a 2.2-liter turbodiesel four-cylinder mated to a six-speed automatic transmission, earned an EPA rating of 19/21 mpg city/highway – much lower than Mahindra’s anticipated 30 mpg. Mahindra and Global Vehicles, its U.S. distributor, were involved in a dispute that was settled in the automaker’s favor by an international arbitration panel. The automaker also faced lawsuits from U.S. dealers alleging the company has “intentionally delayed certification of its vehicles.” The automaker currently sells tractors in the U.S. market, but could enter the U.S. market through its Ssangyong, its South Korean brand. In the meantime, those waiting for a compact diesel truck in the U.S. will have to keep waiting. Source: Mahindra, Reuters
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Mahindra TR40 Side View

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