Suzuki Motor Corporation will inject Rs 70,000 crore into India over the next five to six years, announced President Toshihiro Suzuki, aiming to bolster its position in the world’s third-largest automobile market. The investment, unveiled during the launch of Maruti Suzuki’s first electric vehicle, the e-Vitara, at the Hansalpur plant, underscores India’s role as a global hub for Suzuki’s electric vehicle (EV) and sustainable mobility strategy.
Prime Minister Narendra Modi flagged off the export of the e-Vitara to over 100 countries, including Japan, the UK, Germany, and France, from Pipavav port. The Gujarat facility, operated by Suzuki Motor Gujarat (SMG), a Maruti Suzuki India subsidiary, is set to become one of the world’s largest auto manufacturing hubs with a planned capacity of 10 lakh units annually.
The Rs 70,000 crore investment will fund a capacity expansion to 40 lakh units annually, research and development, and new model development, including four battery electric vehicles (BEVs) by 2030, starting with the e-Vitara. Of this, Rs 32,000 crore is earmarked for production capacity, Rs 23,240 crore for new models, and Rs 15,000 crore for carbon-neutral initiatives, such as localizing over 80% of EV battery production to reduce import reliance.
Maruti Suzuki Chairman R C Bhargava noted that final details on a second Gujarat plant, previously announced with a Rs 35,000 crore investment, await clarity post the GST Council meeting on September 4.
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A parallel milestone is the production of India’s first lithium-ion battery cells with electrode-level localization at the Toshiba Denso Suzuki plant in Gujarat, primarily for hybrid vehicles. “With only raw materials and select semiconductors imported from Japan, this is a significant step toward Atmanirbhar Bharat,” Suzuki said, highlighting a multi-powertrain approach encompassing EVs, strong hybrids, ethanol flex-fuel, and compressed biogas to meet carbon neutrality goals.
India, Suzuki’s largest market, accounts for 61% of its global output and 57% of sales, with the company having already invested over Rs 1 lakh crore, creating 11 lakh direct jobs. The e-Vitara, exclusively manufactured in Gujarat for export, will not yet launch domestically due to high battery costs, though Bhargava indicated future affordability improvements. Suzuki’s commitment aligns with India’s ‘Make in India’ initiative, positioning the country as a global EV production leader.
Also Read: Suzuki’s Rs 70,000 Cr Boost for India