Suzuki Bets Big on India with SUV and EV Launches

Japanese auto giant Suzuki Motor Corporation (SMC) has projected a modest growth of 1-2 percent in the wholesale market of Indian passenger vehicles (PV) for FY25-26. But the Japanese company is expecting its Indian subsidiary Maruti Suzuki to surpass the industry growth due to increased capacity expansion and series launches.

Even though India is going through a demand crash for compact cars, the company is hopeful about the sustained demand for SUVs in the Indian market. SMC in an investor’s presentation on Monday mentioned “Although SUVs continue to be sluggish, the overall market for wholesale is expected to grow by 1 to 2 percent.”

For FY26, SMC is planning the launch of two new SUVs. E-VITARA, the first electric battery vehicle (BEV) is expected to give Maruti Suzuki the gain in the market, making its progress faster compared to the overall automobile market. Keeping this in mind, the company has allocated a capital expenditure of 380 billion yen for this fiscal year, with 50 percent of the investment being made on the Indian market.

This strategic investments aligns with Suzuki’s broader vision to increase Maruti Suzuki’s market share upto 50 percent by FY2030. The company has been making plans to diversify its product offerings, by developing electric and hybrid vehicles to meet the changing customer preferences. This move from SMC is expected to reinforce the leadership of Maruti Suzuki in the Indian market.