M&M's US entry with Scorpio delayed

Indian auto major Mahindra & Mahindra's plans to enter the US market with its SUV Scorpio is delayed due to unfavourable market conditions.

"We are not giving any specific timing, but it will be certainly stretched beyond 12 months from now... Probably next fiscal would be a broad target," Mahindra & Mahindra Vice-Chairman and Managing Director Anand Mahindra told PTI on the sidelines of the World Economic Forum here.

The company had earlier said it planned to launch Scorpio in the US latest by the end of 2009.

Mahindra said the company will be taking stock of the market situation in the US before it decides to roll out the vehicle there.

"This target (of launching Scorpio) would be reviewed on the basis of how the US economy does and what is the most propitious time to enter," he added.

Mahindra, however, said he was bullish on the American market and with Barack Obama as the new President, there would be feel good factor generated, that would help in the market recovery.

"I think I am bullish on America, given Obama's new presidency and the feel good factor in the US would come back faster than what people predict. I think America would recover faster than Europe," he added.

He said the vehicle has met all the emission standards required for the diesel variant.

"We think selling in the world's biggest market is going to be hugely beneficial for pulling our technology up and for making us ultimately competitive with the best in the world," Mahindra said.