Maruti Suzuki India Ltd. is adjusting its strategy as it looks ahead to the end of the decade, with plans to bolster its export numbers amidst fierce competition in India's automotive sector.
By fiscal 2030, the iconic carmaker, known for its Grand Vitara, intends to sell 2.54 million vehicles annually within India but maintains its overall production target at 4 million cars, as revealed in their recent mid-term management disclosure.
Speaking to ANI on December 18, 2024, Rahul Bharti, Executive Director of Corporate Affairs at Maruti, expressed the company's ambitions to export between 750,000 to 800,000 units by then, while simultaneously aiming to double their production capacity to 4 million units- a milestone originally achieved on December 16 with their current 2 million-unit capacity.
"Since we started 40 years ago, we've expanded to a production capability of 2 million units. Our goal now is to scale that up to 4 million within roughly seven years. This growth aims to satisfy increasing domestic demand, enhance OEM sales, and boost export capabilities," Bharti noted.
He highlighted the significant growth in exports, which have spiked from 100,000 units annually four years ago to 300,000, with a target of 750,000 to 800,000 by decade's end, inching closer to the one million mark.
However, shifting market dynamics favor increased exports. "The competitive landscape is intensifying, necessitating higher standards for product features, equipment, and services," Suzuki Motor Co., Maruti Suzuki's parent company, stated in the mid-term plan.
The company plans to act as a pivotal global export hub and expand its supply chain and production capacities to meet domestic demands.
Despite these challenges, Maruti Suzuki remains optimistic about regaining a 50% market share in India.
The company aspires to top the charts in production, local sales, and electric vehicle exports.
It plans to unveil six electric vehicles by FY30, comprising four electric cars and two commercial vehicles. Supporting this initiative, Suzuki Motor intends to inject 1,200 billion yen (approximately Rs 7,000 crore) into capital expenditures covering production, new model launches, carbon neutrality, and quality improvements.
By 2030, new facilities in Kharkhoda, Haryana, and an additional assembly line at Suzuki Motor Gujarat are projected to contribute to a total capacity of four million units.