HomeCar NewsMaruti Crosses 25 Million Milestone - New Plant Under Development

Maruti Crosses 25 Million Milestone – New Plant Under Development

Maruti is not only the dominant player in domestic market, but also exports its cars to around 100 overseas locations

New Maruti WagonR
Image – Dev MTR

India’s largest carmaker, Maruti Suzuki has a new milestone to celebrate. With cumulative production of more than 25 million (2.5 crore) units, Maruti is the first company in India to achieve this distinction in passenger vehicle segment. It has been a pretty long journey for the carmaker that had commenced operations in India in 1983.

Back in the 1980s, Maruti had gained instant popularity with its M800 hatchback. Over the years, the company has strengthened its position in passenger vehicle segment. Maruti’s portfolio now comprises 16 passenger vehicle models. It also leads in CNG segment, with the biggest portfolio of factory-fitted CNG cars. CNG option was recently introduced for its Nexa range cars – Baleno and XL6.

Maruti new plant under development

Maruti has two state-of-the-art manufacturing units, one in Gurugram and second in Manesar. Production capacity is 1.5 million units per annum. Suzuki operates another independent plant in Gujarat, which has production capacity of 750,000 units per annum. As demand for cars is expected to increase in coming years, Maruti is developing its third plant in Kharkhoda, Haryana. Reducing production cost through increased automation could also be one of the key objectives of the new plant.

First phase of Maruti’s new plant in Kharkhoda is expected to become operational in 2025. Work on the second phase is expected to commence from 2026. The plant will be spread over an area of 800 acres. When complete, the plant will have production capacity of 1 million cars per annum. For the first phase, Maruti has allocated investment of more than Rs 11,000 crore.

Maruti car plant
File photo of existing Maruti plant.

Maruti’s new plant will cater to the needs of both domestic and export markets. However, it won’t be used initially for EVs. Maruti’s first electric car is planned for 2025 launch, but it will be manufactured by Suzuki at its Gujarat plant. It is only when full capacity of Gujarat plant is exhausted, Maruti can consider manufacturing EVs at other plants.

Focus on hybrids and CNG

While EVs may be the future, Maruti’s current focus seems to be on hybrids and CNG models. Maruti CNG sales are the highest in the country. The company has also received good response to its first strong hybrid model – Grand Vitara SUV. Next hybrid offering is expected to be Maruti’s version of new-gen Innova. The latter is expected to make its global debut soon.

Being among the first carmakers in the country, Maruti Suzuki has played an important role in development of a modern Indian automobile industry. Over the years, it has created millions of direct and indirect jobs. It has also boosted the country’s wealth. Around 50,000 crore have been invested in Haryana and about 3 lakh jobs have been created.

A state-of-the-art R&D centre has been setup in Rohtak, involving investment of Rs 3,800 crore. In addition, Maruti Suzuki has also set up road safety training centres, technical education and training centres and infrastructure for community development.

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