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Delhi Diesel Ban: Mahindra to Refund Booking Amount

Snapshot: Mahindra will refund booking amounts to all customers in Delhi who are set to purchase new diesel SUVs above 2000cc.

After the supreme court issuing an order on the registration of new diesel vehicles above 2000cc, giving a setback to various brands manufacturing high powered diesel vehicles. Out of which Mahindra and Mahindra, one of the leading SUV manufacturer in the country comes under the recently-imposed Supreme Court ban and will refund booking amounts to all their customers in Delhi who are set to purchase new diesel SUVs above 2000cc.

"I don't think anybody can afford to ignore Delhi as a market... We certainly respect the order of the Supreme Court. We will work to find solutions in line with the court's order, in fairly short time," said Mr Goenka.

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Mahindra’s bastions like Bolero, Xylo, Scorpio, Thar, and XUV500 are the best selling products, making over 95% of the company sales that come under the ban. Reportedly, the company has more than 1,000 unsold cars with its dealers in the National Capital Region (NCR), which as an alternative will be relocated to adjoining regions.The company added that the affected customers who have placed orders for these SUVs will be given options to purchase cars in the sub-2000cc range, such as the Mahindra TUV300.

In the country, about 4 lakh units of diesel vehicles with 2000cc or higher capacity engines are sold annually and, out of which, 5-8% are sold in Delhi and NCR. And the company has more than 50% share of this market across India and in order to not let the SC Ruling result in a massive drop in Mahindra's sales, the automaker plans to introduce more petrol variants in its SUV line-up in the near future.

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