Maruti Suzuki to Invest More Aggressively to Double Car Production Capacity

Maruti Suzuki plans to invest heavily in the domestic market in the coming months. In an interaction with the Ministry of Finance on Thursday, EVP of Suzuki Motor Corporation, Kenichi Ayukawa, said that the Japanese carmaker would invest more aggressively in India to achieve its annual production goals.

In April, the carmaker announced that it aims to boost its production capacity to 10 lakh units a year. Suzuki is already the largest car manufacturer in the country, selling more than 19 lakh units in 2022 while missing production of nearly 1.70 lakh units due to a limited supply of electronic components.

Ayukawa said that the company is focusing on local manufacturing. Further, he mentioned that it has become imperative for car manufacturers to grow in India as the world’s third-largest car market.

EVP of Suzuki Motor Corporation highlighted automobile industry requires long-term as well as large-scale capital investment and constant support from the government to maintain the growth of the automobile industry. Kenichi Ayukawa also appreciated the PLI scheme of the central government.

This Japanese car maker has ventured with Maruti in India to manufacture and sell cars in India. The company holds over 50% stake in Maruti Suzuki India.

Maruti Suzuki’s subsidiary company, Mitsui OSK Lines Ltd, has already invested about Rs 3,500 crore in the last 12 months. Jay Bharat Maruti on Thursday said that the company plans to invest up to Rs 350 crore for setting up its two new facilities in Gujarat and Haryana.

Suzuki plans to boost its production capacity with its Kharkhoda plant in Sonipat, Haryana. The company plans to set up another plant at SMG Supplier’s Park, located in Gujarat.

Maruti Suzuki is focusing on the SUV segment and planning to launch more SUVs. The company has already introduced three SUVs, Fronx, Brezza, and Grand Vitara.

Further, Maruti Suzuki will soon launch the Jimny Lifestyle SUV to expand its SUV portfolio in India. This carmaker has also planned to launch a premium MPV based on Toyota’s Innova. Therefore, Suzuki will operate its two new facilities to fulfill these demands to facilitate the production of all new models and boost the production of existing lineups.