Maruti Suzuki has announced the commencement of commercial production at its new Kharkhoda plant in Harayana. The Maruti Brezza is the first model that’s being produced here, the foundations of which were laid back in August 2022. This will be Maruti Suzuki’s third plant in the state, the other two being the existing facilities in Gurugram and Manesar.
The new Kharkhoda plant has a production capacity of 2,50,000 units in the initial phase, and it has the scope for capacity expansion depending on demand.
- New Maruti Kharkhoda plant is brand’s fourth facility in the country
- Currently has an annual production capacity of 2,50,000 units
- Maruti aims to regain 50 percent market share with increased production capacity
Maruti Suzuki India plants and production capacity
Spread across an 800-acre site in Haryana, the new Kharkhoda plant will give Maruti a total annual production capacity of up to 2.6 million units in India. Once fully operational, the Kharkhoda facility will have a planned capacity of one million units per year.
Maruti’s existing Gurugram facility has an annual manufacturing capacity of 7,00,000 units, the one at Manesar has an installed capacity of 9,00,000 units, and there’s also Suzuki’s wholly-owned 7,50,000-unit annual capacity plant in Gujarat.
Increased production to help regain 50 percent market share
Maruti Suzuki has previously said it would double its India production capacity to 4 million units by 2030-31 with an investment of about Rs 45,000 crore as it looks to regain a 50 percent market share.
Recently, Suzuki Motor said that there is a need to “rethink its strategy” in India as the business environment in the country has changed due to its declining market share and intensified competition. Suzuki Motor Corp plans to invest close to Rs 70,000 crore in India over the next five years as it seeks to reverse market share losses in India.
Apart from increased production capacity, this also entails new product launches in the SUV and MPV segments, including EVs. The company is also mulling new entry-level cars with both ICE and EV powertrains. At the same time, Suzuki Motor has also revised its long-term sales outlook for its Indian subsidiary downwards by 15 percent amid a slowdown in the entry car segment.
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