After being a late mover in the green mobility space, India’s largest carmaker Maruti is set to unleash massive investments and new cars in the electric vehicles space with its Japanese parent Suzuki committing Rs 10,440 crore for zero-emission vehicles and batteries.
The investments will be made at Suzuki’s plant in Gujarat, which recently bagged benefits under the government’s production-linked incentive scheme, and is likely to see vehicles and batteries being produced for the requirements of Maruti Suzuki as well as Toyota, Suzuki’s alliance partner for the Indian market.
Maruti, which is at least two years away from launching its first mainline electric vehicle, is looking to take on Tata Motors and Mahindra & Mahindra, as well as traditional rival Hyundai and its group company Kia.
Suzuki’s plans for electrics were announced as part of Japanese Prime Minister Fumio Kishida’s India visit with the company signing an MoU with election-bound Gujarat on Saturday.
The biggest chunk of the fresh funds will be spent towards the battery plant that will see Rs 7,300 crore being invested with a production target of 2026. EVs will see investments of Rs 3,100 crore with a production target of 2025. Maruti Suzuki Toyotsu, a joint venture between Suzuki and Toyota Tsusho for vehicle dismantling and scrapping, will also see Rs 45 crore investments for a plant.
Earlier, Maruti Suzuki MD & CEO Kenichi Ayukawa had said that the company will focus on driving in heavy indigenisation of green technology and components while developing EVs as it wants to mainstream the cars in terms of pricing and volumes.