Maruti Suzuki EVs launch planned by 2020 – Toyota to provide tech support

Suzuki will use Toyota's hybrid technology to expand globally while the latter will use the former's expertise in small cars to crack the Indian market.

In early February, Toyota and Suzuki announced that they have agreed to initiate talks regarding a partnership in shared procurement, green vehicles, IT and shared technologies. Today, the two global giants of auto industry, made yet another announcement.

As per the latest announcement – “Suzuki is to produce EVs for the Indian market and will supply some to Toyota, while Toyota is to provide technical support.” These new generation of EVs will be made in India, primarily for the Indian market.

Suzuki Survivor EV Concept at 2017 Tokyo Motor Show.

Considering that Maruti Suzuki is, by far, the largest contributor to Suzuki’s global revenue, the partnership will have a significant impact on the way both brands operate in India. These new EVs will most likely be sold under the Maruti Suzuki badge.

Green vehicles tech (read hybrid) seems to be the primary point of focus, especially for Suzuki. While Toyota’s global hybrid vehicle sales recently surpassed 10 million units, Maruti Suzuki managed to sell over 1 lakh units of its SHVS mild hybrid models (Ciaz and Ertiga) in India in a reasonably short period. There definitely is a huge room for knowledge transfer here.

While Suzuki can gain technical know-how from Toyota when it comes to hybrid technology and alternative propulsion systems (vital for its global expansion), the smaller Japanese automaker can introduce the giant to its frugal cost structure in addition to allowing access to its acclaimed low-cost compact cars.

This would not only help Toyota establish a presence in the volume-rich segment but would also help in meeting the strict CAFE (Corporate Average Fuel Economy) norms in the future. CAFE calculates average fuel efficiency on the basis of total number of cars produced in a year.

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Source ET Auto