India's largest car manufacturer, Maruti Suzuki is set to enter into India's commercial vehicle space which is growing at a fast pace, said the reports. Tata Motors Ace currently leads the sector with a 50% market share.
Maruti did not have anything to offer in the load-carrier category due to the absence of a small diesel engine. The company is now planning to use the two cylinder 800 cc diesel engine, developed for the passenger car segment into the small pick up truck market too, according to reports.
The Japanese automaker has codenamed the project ‘AP’; the company is set to enter the Light Commercial Vehicle (LCV) space by 2015-2017 if the project bears fruit, said the reports. The company is either likely to use existing Suzuki carry pick up truck platform and tweak it for Indian market or develop a new one.
Frost & Sullivan say that Indian LCV segment is set to grow by a CAGR of 18% in the next five years to 8,30,000 units by 2016. With an increase in infrastructure, the demand for LCVs is likely to grow in cities where movement of heavy vehicles is restricted.
- Expectation, Highlights and Live Updates on Budget 2016.
- Get the most detailed result analysis on the web - Real Fast!
- Actionable & Award-Winning Research on 500 Listed Indian Companies.