MG expands assured buyback programme to five years

JSW MG Motor has broadened its industry-first resale assurance for electric vehicles, extending the MG Value Promise buyback scheme from three years to options of three, four or five years. The announcement, made at the company’s Pune operations, gives customers a clearer exit route and aims to ease concerns about residual values that have deterred some buyers from switching to EVs.

MG Assured Buyback Program offers flexible tenures

The MG Assured Buyback Program lets buyers select a tenure of three, four or five years at the point of purchase. Depending on the plan chosen, the guaranteed buyback value ranges between 40% and 60% of the vehicle’s original value. At the end of the selected period, owners may keep the car, surrender it to receive the assured resale value, or trade it in for a new MG model.

Anurag Mehrotra, Managing Director of JSW MG Motor India, said the updated offer was intended to provide “complete peace of mind” to EV owners by providing an assured resale value. The company originally launched the buyback scheme as a three-year offer guaranteeing up to 60% resale value. The extension to five years increases the programme’s appeal to a broader set of buyers who place a premium on long-term ownership certainty.

How the scheme works and who it suits

The buyback programme is not tied to any particular finance package. Customers can opt in independently of loans or leasing arrangements, making it accessible whether they purchase outright or under finance. The assured buyback percentages vary by the selected plan, and MG has presented the structure as a straightforward way to reduce perceived risk around depreciation for first-time EV buyers.

Industry analysts say residual-value guarantees can play a role in accelerating EV uptake by addressing one of the most commonly cited customer concerns. When buyers are confident of a minimum future value, the total cost of ownership comparison between internal-combustion and electric vehicles becomes more favourable for EVs.

Market implications and customer options

For MG, the extended programme could support stronger customer retention and smoother transitions from older models to new ones. By offering assured resale amounts, the company may also enhance second-hand market liquidity for its EVs, which has historically been a sticking point for purchasers worried about depreciation and battery longevity.

At the end of the agreed tenure, customers can choose to retain the vehicle, surrender it to receive the assured resale amount, or exchange it for a new MG product. That flexibility is designed to appeal to a range of buyers, from those who prefer short ownership cycles to those planning longer-term use.

MG’s move comes amid rising competition among automakers in India’s EV segment. Several manufacturers are experimenting with warranties, battery buyback plans and financing packages to reduce perceived risk and accelerate adoption. MG’s extended MG Value Promise positions the company as an early adopter of guaranteed resale commitments within the market.

As India seeks to scale up electric mobility, measures that reduce buyer uncertainty are likely to play an important role. MG’s extended assured buyback programme is a commercially driven step designed to make EV ownership more predictable and appealing to mainstream buyers.