Maruti Suzuki, India's largest carmaker, has unveiled its ambitious plan to double its production capacity to about 4 million vehicles per year by 2031. The company aims to achieve this milestone by introducing new models and increasing its exports. Maruti Suzuki also plans to triple its overseas sales, aiming for 800,000 units by the fiscal year ending in March 2031. In order to meet the growing demand, the company intends to expand its manufacturing capacity in India.
R.C. Bhargava, Chairman of Maruti Suzuki, stated in the company's annual report that the increasing domestic and export requirements have made it necessary to add manufacturing capacity for an additional 2 million vehicles. To fulfill this goal, Maruti Suzuki has already announced the establishment of a factory in Kharkhoda, Haryana, with a capacity of producing 1 million cars annually. Furthermore, the company is in the process of selecting a second site in India for another plant.
While Maruti Suzuki has been trailing behind its competitors in the electric vehicle market, the company is determined to catch up. Bhargava mentioned that developments in EV production are progressing well at their Gujarat facility in western India, and Maruti Suzuki plans to launch its first electric model in 2024-25. The company aims to have a total of six EV models by 2030-31, which are expected to comprise 15-20% of their total sales by that time.
Despite the challenges posed by semiconductor shortages, Maruti Suzuki remains optimistic. Bhargava acknowledged that the semiconductor shortages have impacted production but expressed hope that the situation will further improve in the coming year. The company has been actively working, with the support of Suzuki Japan, to strengthen its product portfolio and adapt to the changing market conditions.
Maruti Suzuki's vision for the future is driven by the need to meet the evolving demands of customers and the market. With its expansion plans, the company is aiming to reinforce its position as a dominant player in the Indian automotive industry and establish a strong global presence.