Maruti 3.0: In nine years, the automaker hopes to double production capacity

7 Aug 2023 , 12:37 PM

In nine years, Maruti Suzuki India wants to increase its production capacity to four million (40 lakh) units, indicating the beginning of ‘Maruti 3.0,’ according to Chairman RC Bhargava.

Bhargava indicated in the company’s annual report for 2022–2023 that the company will disclose its plans for its next phase of growth as soon as it could.

‘Your business must now add the further 2 million over the course of 9 years. In order to manage all the concerns associated with producing 4 million units annually, the company may need to reorganize its organizational structure while keeping in mind the interests of all of its stakeholders, including shareholders. He promised stockholders in a written note, ‘We will announce what we are proposing as soon as feasible.

The ‘Maruti Suzuki 3.0’ Annual Integrated Report for the fiscal year 2022–2023 was released by Maruti Suzuki India Limited yesterday.

It took 40 years to build a 2-million-unit capacity. He said all of the necessary investments would come from internal resources.

He predicts a 6% growth rate for the car industry as a whole through 2030–2031. Maruti Suzuki India anticipates somewhat faster growth in 2023–2024.

The prospects for exports are also anticipated to continue to increase, he added, along with the increasing local demand.

The company further stated that because its exports increased to 259,000 units last year, it now anticipates an increase in export demand, with export volumes predicted to reach 750,000–800,000 automobiles by 2030–31.

‘Your company must add an additional 2 million in manufacturing capacity due to domestic and overseas demands. The first site in Kharkhoda (Haryana) is proceeding, and it is anticipated that the 250,000 capacity plant would begin production in the first half of 2025,’ he stated.

‘Thereafter, a similar facility of a capacity of one million will be installed annually. The process of choosing a second location to add a further one million capacity by FY 2030–31 is ongoing at the same time, according to Bhargava.

It predicted that the business may provide roughly 28 different versions by 2030–2031. The Gujarat facility is working on developing electric vehicles, and it plans to begin selling the first model in 2024 or 2025. Six EV vehicles are anticipated by 2030–2031.

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