Maruti Suzuki Optimistic With The Awakening Of Small Car Segments In India

JAKARTA - Maruti Suzuki is committed to continuing to meet the needs of buyers who are aware of the budget, or producing affordable non- SUV cars in the midst of various manufacturers that focus on targeting the segment.

Chairman Maruti Suzuki RC Bhargava said when other manufacturers produce SUVs and cars at high prices to meet the market segment, Maruti Suzuki will never forget the market needs who want cars at affordable prices.

"We will never forget the need for large numbers of people who can't afford expensive cars," he said, quoted from the Autocar India website, Tuesday, August 6.

The affordable car market in India has experienced a decline since the Covid-19 pandemic, with the hatchback segment continuing to lose market share. On the other hand, Sport Utility Vehicle (SUV) has become a new trend and is driving the growth of the passenger vehicle market, even contributing about 50 percent of the industrial volume.

Consumers in the affordable car segment are the most affected group, and several car companies have left the 'entry level' segment.

However, Maruti Suzuki is optimistic that the small car segment will recover next year following improvements in affordability factors. Bhargava believes that small car growth is very important for the sustainability of passenger vehicle market growth in India as it can attract more first buyers to the market.

"Our ongoing efforts to produce small low-cost cars are a recognition of the economic conditions of most people and their aspirations to have comfortable and safe means of transportation," added Bhargava.

Recently, Maruti Suzuki launched the latest version of her popular hatchback, Swift.

"As market leaders, we bear the responsibility to revive the hatchback segment at a time when this segment really needs a growth catalyst," said Managing Director and CEO H. Takeuchi.