Fiat Chrysler Automobiles say that the Roxor is specifically a Willys Jeep knock-off, wants it banned from sale.
FCA is looking to block the sales of the Mahindra Roxor as it claims that it is ‘modelled after the original Willys Jeep.’ The Roxor is also hampering the sale of Jeep’s models as it has a cost advantage. Mahindra Roxor is sold in North America as a knocked-down unit which is assembled in the company’s plant in Michigan, Detroit.
In its complain to the US International Trade Commission, FCA has reported that the “boxy body shape with flat-appearing vertical sides and rear body ending at about the same height as the hood” of the Mahindra Roxor have been taken from Jeep models. The complainant has even pointed to Mahindra’s “substantial foreign manufacturing capacity combined with its demonstrated intention to penetrate the United States market and harm FCA’s goodwill and business.”
If the case does go through, it will prove to be a serious let down for Mahindra who is planning to invest $600 million in its Michigan manufacturing plant. By 2020, the Indian manufacturer will also be employing 670 workers there. This is a clear indication that Mahindra has a good market demand in the United Sates.
While FCA has the right to claim what it is against Mahindra, the Jeep models don’t seem to be really seeing a fall in their sales. On the contrary, the company has only a couple of days back reported a 16 percent increase in the sales of their Jeep models and a 5.9 percent increase in the overall sales volume for the company as compared to the last year.
The tagline “Original Off-Road Vehicle With Modern Innovations” (sic original) that Mahindra tags its Roxor with might also come to haunt them in this Matter of Certain Motorized Vehicles and Components Thereof, Complaint No. 3330, U.S. International Trade Commission (Washington), which the FCA has filed against them.
FCA Complains Against Mahindra
– The complainant claims that the Roxor is a Willys Jeep copy
– FCA wants the US Trade Commission to stop the sales of Roxor altogether
– No details are known about the payoffs if Mahindra does loose
Source – Bloomberg.com