Maruti Suzuki, the largest car maker in the Indian auto market, will soon be developing small cars for Suzuki in the Japanese market. The Indian auto giant has expertise in the manufacturing of the low cost fuel efficient car and currently accounts for over 50 percent share of the total auto sales in the country. The success of Maruti in its domestic market has been largely supported by the heavy sales of volume driving small cars.
In a recent statement given to Live Mint, Maruti’s Chairman R.C. Bhargava said, “We will be making small cars for Suzuki in India, which will be exported to Japan.” He added that the company will be developing and producing completely new small-car models for them. He however, has not shared further details in this regard.
The unconfirmed media reports also claim that the company will be shifting its entire engineering process to India with all of its future small cars to be developed in the country.
The Japanese auto giant Suzuki has formed a new joint venture - Suzuki Powertrain India Ltd – consisting of a 70:30 partnership between Suzuki and Maruti. The company will be manufacturing diesel engines and transmissions for the car at Manesar (Haryana) under this new venture. Moreover, Suzuki has enhanced its investment in the research and development (R&D) in India.
Maruti Suzuki India Limited currently sells some of the highest selling small cars in the Indian auto market that comprises of Maruti Alto, Maruti Wagon R and Maruti A-Star, etc.
