Maruti Suzuki India is gearing up for a powerful SUV push with no less than six out of ten new fashions deliberate for the following three years beginning FY25 being sports activities utility automobiles (SUVs), reinforcing the Japanese carmaker’s robust intent to sharpen concentrate on the car physique sort amid a speedy shift in purchaser choice.
The brand new launches will increase the mannequin line-up on the maker of Grand Vitara and Brezza SUVs to about 30, stated folks aware about the corporate’s plans. This would be the first main step by Suzuki Motor’s Indian subsidiary to double annual manufacturing to 4 million automobiles by the flip of the last decade.
By new SUV introduction and rising gross sales of present SUV fashions, India’s largest carmaker goals to promote 540,000-560,000 SUVs in FY26 in contrast with an estimated 440,000 models this fiscal.
A spokesperson for Maruti Suzuki stated the corporate “doesn’t give any steering on future fashions.”
Mirroring the technique it as soon as adopted within the passenger automotive market of straddling all segments with fashions at a number of value factors, Maruti is more likely to cowl “all white area” within the SUV phase together with micro SUVs, compact SUVs, and compact electrical SUVs in addition to two new four-metre SUV fashions, which might be pitted in opposition to Mahindra & Mahindra’s bestselling XUV700 mannequin, stated one of many individuals conscious of the corporate’s plans.
Within the works are 4 EVs with the primary set to be the corporate’s debut electrical SUV with an anticipated launch this October. To be positioned within the premium finish of the market, the mannequin is more likely to be priced between INR 20 lakh and INR 25 lakh. This might be adopted by a seven-seater electrical SUV in March 2025, a small EV in Could 2026 and an electrical MPV spinoff of its maiden e-SUV in October 2026.
Maruti can also be creating a micro-SUV, a small SUV and a threerow MPV which are more likely to go on sale someday in FY26 and FY27, stated the folks cited above.
Maruti can also be making ready to launch a brand new era Swift/ Dzire, Fronx facelift and new era Baleno in 2024, 2025 and 2026, respectively. A lot of the fashions priced as much as INR 12 lakh will even be provided with Suzuki’s inexpensive hybrid expertise which is at present underneath improvement.
“With electrification catching tempo, all the brand new era fashions from Maruti’s present lineup could have a hybrid possibility at the same time as the corporate continues to pursue pure EVs,” a second individual stated.
Share of SUVs in India’s passenger car market climbed to 53% in December 2023 from 44% a yr earlier. Robust demand for automobiles with excessive floor clearance and excessive seating stance coupled with launches of latest SUV fashions helped Maruti develop the share of SUVs in its general gross sales to 25% in December 2023 from lower than 10% two years in the past. To make sure, aside from the Jimny which was pitted in opposition to the Mahindra Thar and hasn’t taken off, most of its new launches within the phase have added to general volumes.
The upper share of SUVs has helped the corporate increase its common realization per unit and assist margins regardless of rising reductions, confirmed ETIG evaluation.
It has improved Maruti’s common promoting value by 6.6% to INR 6.6 lakh per car. Consequently, the working margin earlier than depreciation and amortisation (Ebitda margin) expanded by 198 foundation factors to 11.7% though the typical low cost per car elevated by INR 5,000 year-on-year to INR 23,300 within the December quarter.
