Maruti Suzuki Cuts FY30 India Sales Target, Still Eyes 50% Market Share

Maruti Suzuki India Ltd. expects to sell less in India and export more by the turn of this decade, due to intense rivalry for market share in the world’s third largest auto industry.

The Grand Vitara maker aims to sell 2.54 million cars annually by fiscal 2030, but retained its production target of 4 million cars, according to a mid-term management plan released as part of an exchange filing on Thursday.

But in an interaction with ANI on Dec. 18, 2024, Executive Director (Corporate Affairs) Rahul Bharti had said that the company hopes to do about 750,000-800,000 in exports by then, while doubling its production volume to 4 million units. 

“Since our inception 40 years ago, we have grown from zero to a production capacity of 2 million units, which we achieved on Dec. 16 this year,” he had said then. “Now, we aim to double that capacity to 4 million in just about seven years. This will allow us to meet the growing domestic demand in India, support OEM sales, and cater to exports.”

“Four years ago, we were exporting about one lakh cars per year, which has now risen to three lakh annually. By the end of this decade, we are targeting exports of 7.5-8 lakh units per year, bringing us closer to the one million mark.”

The goals seem to have changed now, in favour of exports.

“The competitive environment is becoming increasingly severe, and the quality of product functions, equipment and services required by customers is increasing,” Suzuki Motor Co., the parent entity of Maruti Suzuki, said in the mid-term plan. The carmaker aims “to respond to growing domestic demand in India and to play a role as a global export hub, expand supply chain and production capacity”.

Still, the company is confident of reclaiming 50% market share here.

Maruti Suzuki aims to become India’s no.1 carmaker in terms of production, local sales and exports of electric cars. A total of six electric vehicles will be introduced by FY30, including four electric cars and two commercial vehicles.

To that end, Suzuki Motor plans to invest 1,200 billion yen (about Rs 7,000 crore) as capital expenditure towards production, new models, carbon neutrality and quality measures. One new plant in Kharkhoda, Haryana, and an assembly line in Suzuki Motor Gujarat will come onstream by 2030 for a total installed capacity of four million units.