New Delhi, May 12 – Japanese automotive giant Suzuki Motor Corporation (SMC) anticipates a modest growth of 1 to 2 percent in India's overall passenger vehicle wholesale market for FY2025-26. Despite the lukewarm demand for compact cars, the company expects to outpace industry growth through its subsidiary Maruti Suzuki India, driven by a strategic expansion in SUVs and electric vehicles (EVs).
Maruti Suzuki to Launch Two New SUVs, Including e-VITARA
In its latest investor presentation, SMC highlighted that while SUV demand remains strong, compact car sales have been under pressure. To capitalise on shifting consumer preferences, the company plans to launch two new SUVs in FY26, including its much-anticipated battery electric vehicle (BEV), the e-VITARA.The e-VITARA, Suzuki’s first fully electric vehicle, is slated for a summer 2025 launch, with sales commencing simultaneously in India, Europe, Japan, and other global markets.
India to Receive Half of Suzuki’s FY26 Capex
SMC has allocated capital expenditures of 380 billion yen for FY2025- 26, with around 50 percent earmarked for India. The funds will primarily support automobile production capacity expansion, underscoring the company’s long-term commitment to the Indian market.In March 2025, Maruti Suzuki approved an investment of ₹7,410 crore to set up a third manufacturing facility at Kharkhoda, Haryana, with an annual capacity of 2.5 lakh vehicles. Production at the plant began in February and is expected to boost the output of popular models like the SUV Brezza.
India as a Global EV Production and Export Hub
Suzuki is also positioning India as a global production and export hub for battery electric vehicles. In FY2024- 25, the company expanded exports by 50,000 units, reaching a total of 3.33 lakh units, primarily targeting Africa and other international markets.The company reaffirmed its commitment to the ‘Make in India’ initiative and aims to build a robust infrastructure to produce up to 4 million vehicles annually in the country. This aligns with its strategy to flexibly meet both domestic demand and international market opportunities.
