Maruti To Expand Diesel Line

Delhi’s diesel dilemma does not seem to have dampened the auto industry’s interest in this fuel option. India’s largest car maker Maruti Suzuki (MSI) plans to add a new set of engines to its diesel range as part of its long-term growth strategy.

It is moving away from the solitary diesel car maker image and will expand its portfolio beyond the bestselling Swift diesel.

Without outlining any timeline for the new engines, Suzuki Motor Corporation chairman Osamu Suzuki told ET: “Currently, we have the 1.3 litre multijet diesel engine being used only in Swift. We are considering more types of engine that can be introduced as there is a need to expand the diesel portfolio. Some options are being studied for smaller diesel engines.”

The company is expanding its diesel engine capacity from 1 lakh units to 3 lakh units at its Manesar facility. While the 1.3 litre engine used in the premium hatchback Swift will also be strapped on to the new offering Splash, the smaller engines that the company plans to develop at this facility will fire other compact cars. Maruti is studying options for smaller engines from Suzuki Powertrain India. “The possibility of fuel-efficient small diesel engines in future cannot be ruled out. Besides the 1.3 litre diesel engine, an expanded range will help us keep our market share intact,” said an MSI executive.

These small engines are targeted at the European market which is predominantly diesel unlike India where diesel comprises around 25% of the market. For Suzuki’s new world car A-Star — to be manufactured in India and exported mainly to the European market — the Japanese company may consider a diesel option besides the already announced 1.0 litre petrol engine.

“In case, the diesel engine is considered for this car at any point of time in future, Suzuki is open to evaluate various diesel engine options available at that time,” an MSI spokesperson said.

The company also plans to counter the growing breed of smaller diesel engines being launched by other companies like Hyundai Motor India (HMI) and General Motors. Hyundai’s new small car i10 will have a 1.1 litre diesel engine (the smallest in the market) and will soon debut in Europe. General Motors is considering a diesel engine option for its compact model Spark.

Maruti Suzuki Looks At rolling Out 'World Car' From India

Suzuki Motor is looking at launching its next "world car" from India, reports agency sources.

The car is likely to be rolled out from the Maruti Suzuki India's (MSI) facility situated at Manesar. This car is targeted at the European market.

It is believed that, the chairman of the company, Osamu Suzuki will be in India next week and he is also likely to make an announcement on the company's plans for the new global car, sources said.

The new car will be the fifth global model from Suzuki and is being jointly developed by MSI and SMC, sources added.

MSI is increasing the capacity at its Manesar plant to nearly 3 lakh units by 2010; currently it has a capacity of one lakh. The scaling up is done to accommodate the production of the new 'world car'. MSI's new R&D facility spread over 500 acre to be set up at its Manesar facility will also house a vehicle test track.

Source: http://www.myiris.com/

Suzuki To Make Compact, Low-Emissions Hatchback In India Geared For Global Export

Beginning next October, Japanese automaker Suzuki Motor Corp. plans to make a new compact hatchback in India that will be sold all over the world, the company's chairman said Tuesday.

The plan is part of Suzuki's efforts to make India an export hub. It also is intended to keep Suzuki Motor Corp.'s majority share of the Indian car market as competition mounts in the coming years.

"Our next world car will be made in India," Chairman Osamu Suzuki told reporters in New Delhi. "We are going to commence production after autumn 2008."

The one-liter gasoline engine car will not only comply with the most stringent pollution control rules but also keep carbon emissions lower than those of its European competitors, Suzuki said.

It will come with a "very attractive" price tag, the company said without giving details.

Suzuki holds a controlling 54 percent stake in Maruti Suzuki Ltd., India's largest car maker, which is expanding its factory in the northern Indian town of Manesar to prepare for production.

"In a year or year and half, we would have tripled production at the Manesar plant to 300,000 units," said Jagdish Khattar, managing director at Maruti Suzuki.

About 150,000 units of the new car will be manufactured annually at the Manesar plant, Suzuki said. A third of this will be exported, while the rest will be sold in India, he said.

The new car — code named A-Star — is part of Maruti Suzuki's ongoing efforts to protect its market share in India, which stood at 54 percent last year.

The company plans to invest 200 billion yen (US$1.8 billion, €1.22 billion) between 2007 and 2009 to increase capacity, bring new models and shift manufacturing of more engines to India.

The car is the first model that has involved designers from Maruti Suzuki's research and development division in India from its initial stage of its styling, a company statement said.

Suzuki said the company wants to further strengthen its research and development work in India.

Source: http://www.iht.com/articles/ap/2007/12/11/business/AS-FIN-COM-India-Suzuki.php

Suzuki Boss Sceptical About 3,000 Dollar Car

Suzuki Motor is taking a cautious view of the race to build a 3,000-dollar car in India, where the Japanese mini-car specialist is the market leader, its chief executive said Wednesday.

India's Tata Motors has previously said it plans to introduce a 3,000-dollar car in its home market next year, while Nissan and Renault are also considering jointly launching a similarly priced vehicle in India by 2010.

But Suzuki chairman and chief executive Osamu Suzuki expressed scepticism about prospects for such a low-priced vehicle.

"Global standards for emissions, environmental protection and also automobile safety are all becoming stricter each year. It's not really clear which standards, in which year, this 3,000-dollar car is aiming to meet.

"For example, will airbags be included? Will there be seatbelts? These are questions that really need to be considered," he told reporters.

"So our fundamental stance is that rather than Suzuki becoming very concerned and watching over its shoulder to see what other people are doing, Suzuki has decided to move forward at its own pace," he said.

Suzuki was an early entrant into the Indian market when the billion-plus nation started opening up its economy in the 1990s following decades of socialist protectionism.

Maruti Suzuki India Limited, majority owned by the Japanese automaker, now has a market share of more than 50 percent in the fast-growing Indian market, but its dominance is being increasingly challenged by global automakers.

"Going forward the idea of our being able to maintain this 55 percent share is something that's going to be very difficult to achieve," said Shinzo Nakanishi, managing director of Maruti Suzuki India Ltd.

"We will strive to keep this very large market share. However we do realise that competition is going to be fierce going forward," he said.

Chief executive Suzuki was more optimistic.

"We will forever maintain a 50 percent or more share of the (Indian) market. It all really depends on the product," he said.

Maruti To Hike Prices Across All Models

Maruti Suzuki India Ltd, the country's biggest carmaker, will increase prices of its cars across all models by up to Rs 12,000 from next month to offset the rise in input costs and freight charges.

According to dealer sources, the company has cited higher costs of raw materials such as lead and aluminium as well as oil among the reasons for increasing the vehicle prices.

Sources said Maruti has written to its dealers across the country that the prices will be increased from January 2008. Further, the company's production facilities will be shut down for maintenance activities during December 24-31 and the dealers have been asked to plan their bookings accordingly.

Maruti officials declined to comment on the issue.

Sources also said MSIL has told its dealers that the higher prices would be applicable on dispatches of vehicles from the date of announcement of the price hike and there would not be any price protection for pending orders at the company level.

Source: http://www.hindu.com/thehindu/holnus/006200712071632.htm

Maruti To Hike Prices Across All Models

Maruti Suzuki India Ltd, the country's biggest carmaker, will increase prices of its cars across all models by up to Rs 12,000 from next month to offset the rise in input costs and freight charges.

According to dealer sources, the company has cited higher costs of raw materials such as lead and aluminium as well as oil among the reasons for increasing the vehicle prices.

Sources said Maruti has written to its dealers across the country that the prices will be increased from January 2008. Further, the company's production facilities will be shut down for maintenance activities during December 24-31 and the dealers have been asked to plan their bookings accordingly.

Maruti officials declined to comment on the issue.

Sources also said MSIL has told its dealers that the higher prices would be applicable on dispatches of vehicles from the date of announcement of the price hike and there would not be any price protection for pending orders at the company level.

Source: http://www.hindu.com/thehindu/holnus/006200712071632.htm