Positioned as a mass-market product, the Udo ties in with LMM’s belief that headroom exists in last-mile electrification, driven largely by the conversion of vehicles running on the internal-combustion engine (ICE) into electric vehicles (EVs), and the erickshaw segment becoming formalised.
Suman Mishra, managing director and chief executive officer, Mahindra LMM, said erickshaws had more than a 60 per cent share in the market for electric vehicles.
This made the segment a natural growth engine for organised original equipment manufacturers (OEMs), Mishra said.
LMM expects the electrification rate among three-wheelers to rise to 55-60 per cent by 2030 from 35 per cent at present.
“That indicates significant headroom for growth, which will come primarily from ICE-to-EV conversion,” Mishra said. This transition, she noted, is shaping product strategy, including the launch of the Udo with a higher range, improved driveability and more features than existing offers.
Range anxiety remains one of the biggest adoption barriers, especially for cargo and passenger operators.
“Once you cross the 200-km mark, the psychology changes,” Mishra said.
“Even if customers use 150 km, they still feel comfortable knowing there is sufficient reserve.”
Contrary to popular perception, Mishra said EV adoption in this category was not limited to metros. “These vehicles do not require fancy charging infrastructure. Shared parking and home charging make EV adoption easier in semi-urban and rural areas,” she said.
With no immediate capacity constraints and a new battery plant at Zaheerabad (Telangana) capable of scaling up to 200,000 vehicles annually, LMM is positioning itself to ride the next phase of growth in erickshaws and electric three-wheelers — starting with the Udo.
“As the largest commercial EV player in the country, with over 300,000 EVs on the road, we believe this product truly represents the future of last-mile mobility in India,” Mishra said.
In the erickshaw space, LMM sees an additional structural shift underway — from lead-acid batteries to lithium-ion.
“This category has traditionally been lead-acid-based, but it is now steadily transitioning towards lithium-ion batteries,” Mishra said, pointing to regulatory notifications mandating higher manufacturing standards and lithium-ion adoption over the next two years.
A faster charging time of four to five hours and improved reliability are accelerating this shift, even as the segment remains fragmented with many unorganised players.
As regulatory enforcement strengthens, Mishra expects greater formalisation.
“As the category becomes more organised, it will open up opportunities to introduce better and more reliable products,” she said.
At a strategic level, LMM plans to grow its overall volumes sixfold by 2030 and electrify at least 50 per cent of its portfolio.
LMM sells a range of electric vehicles, including the Treo portfolio, Zor Grand and e-Alfa. It has the widest portfolio of last-mile mobility solutions in the country, spanning three- and four-wheeler passenger and cargo vehicles running on electricity, petrol, compressed natural gas, and diesel.
Its electric vehicle lineup, which includes the Udo and a four-wheeler small commercial vehicle called the Zeo, is complemented by the fuel-efficient Alfa and Jeeto ranges.
 "Suman Mishra, MD & CEO, Mahindra Last Mile Mobility, said e-rickshaws had over a 60 per cent share in the market for EVs")