Suzuki Motor Corp has revised its India EV strategy and said that it will target an annual manufacturing capacity of 40 lakh cars in India to cater to domestic demand and export-oriented plans. The details were shared in a new mid-term management plan for FY25-30, shared by Suzuki Motor Corp on February 20.
The car company said India's 'business environment has changed' due to declining market share and intensified competition in the electric vehicles space, adding that the company needs to 'rethink strategy'.
Maruti Suzuki will aim for a market share of 50% in India to remain the market leader in automotive industry, said Suzuki Motor. For the global auto major, India will be a key global export hub as well as supply products for European and African market.
The mid-term management plan said the company plans to launch four Battery EVs in India by FY30, and has lined up a capital investment of 1,200 billion Yen between FY25-30. The company has ambitions to become the number one player in in Production, Exports and Sales of BEVs in India.
India is poised to be the most significant market for Suzuki's future growth, said the company, adding that the competitive landscape in India is intensifying, as numerous players jostle for market share. This competition is driving the need for higher quality in product functions, equipment, and services, Suzuki Motor Corp added.
Shares India's automotive companies have been under selling pressure in recent days due to tariff-related concerns and the potential increase in competitive intensity as Elon Musk's Tesla is preparing to start selling cars in India. The Nifty Auto Index opened sharply lower on February 20 but ended with a gain over a percent. Shares of Maruti Suzuki ended down by more than 2% on February 20.
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