Suzuki pledges Rs 70,000 cr investment in India over next 5-6 years

Suzuki will invest Rs 70,000 cr in India over the next five to six years, Toshihiro Suzuki, President of Global Suzuki said during the inaugural ceremony of e-Vitara on Tuesday.

The investment is aimed at increasing production, launching new models and defending its market share in the world's third-largest car market, the automaker's chief said. The Japanese company has already invested over Rs 1 lakh crore in India, creating over 11 lakh direct jobs in the value chain.

Maruti Suzuki will export its electric SUV e-Vitara to 100 countries from its Gujarat plant. However, the timeline of launch of e-Vitara in India is undecided.

To establish an EV line at the Gujarat facility, the company will invest Rs 3,200 crore by FY26. The plant is spread over 640 acres, housing three plants each with a combined capacity of 750,000 units/ annum.

Manufactured exclusively at Suzuki Motor Gujarat (SMG), a unit of Maruti Suzuki India, the first batch of export bound e VITARA will be shipped from Pipavav port to the European region, including the United Kingdom, Germany, Norway, France, Denmark, Switzerland, Netherlands, Sweden, Hungary, Iceland, Italy, Austria, and Belgium.

The company plans to export between 50,000-1,00,000 EVs on an annualised basis, Toshihiro Suzuki said. He added that the company is hesitant to commit to large number of EVs in domestic market due to high cost of importing batteries.

Suzuki President said that the Gujarat facility will shortly become one of the world’s largest automobile manufacturing hubs, with a planned capacity of 10 lakh units. The company aims to serve customers across India and global markets through the supplies from this plant.

He further said, "We chose this facility to manufacture the e-VITARA, our first BEV and make it as a global production hub for this model. We will export this "Made-in-India BEV" to over 100 countries, including Japan and Europe."

"Today is Ganesh Chaturthi and also a day of historical importance for the Suzuki Group. We are deeply honoured that the Prime Minister has raised the two landmark projects. His inspiration and visionary leadership have made this day possible..." Suzuki said.

He further said, "Suzuki has proudly partnered in India's mobility journey for over four decades. We remain committed to supporting India's vision for sustainable green mobility and contributing to Viksit Bharat."

India is the biggest market by sales and revenue for Japan's Suzuki Motor, which has a presence there through its majority stake in market leader Maruti Suzuki.

Maruti Suzuki share price: The shares of Maruti Suzuki India Ltd. were trading at Rs 14,608.10 per scrip after rising for Rs 149.95 (1.04%) as on 12:18 on Tuesday.

The company achieved a second major milestone with the start of production of India's first lithium-ion battery and cell with electrode level localisation, which are used in our hybrid vehicles, Suzuki said.

"With only raw material and some semiconductor parts coming from Japan, this is a big salute to Atmanirbhar Bharat. We will use a multi-powertrain strategy including Electric, Strong Hybrid, ethanol flex fuel, and compressed biogas, to achieve carbon neutrality and climate change goals."