Suzuki Motor Corp is said to be increasing its investment in India to develop future technologies for electric vehicles (EVs) and connected cars. By doing so, it aims to retain its top spot in the Indian market.
Suzuki, a major shareholder in Maruti Suzuki has seen its profits decline due to stronger JPY although the company has achieved record sales numbers last year. The parent company is said to have earmarked around $1.46 billion for R&D, which is 15% higher than what it had spent the last year. It will be used for research to develop self driving vehicles, hybrid EV’s, more efficient petrol engines and connected vehicle technologies.
Suzuki does not want to be caught off guard at a time when car makers are increasingly focussing on automation, electrification, lesser emissions and connected aspects of vehicles.
Maruti Suzuki currently holds 50% market share in India, the fifth largest passenger auto market with almost 3 million unit sales at present. This number is expected to grow more than threefold to 10 million units by 2030. Suzuki would want to capitalise on its current position to stay the market leader.
Suzuki recently announced a partnership with Toyota in India, which gives it access to Toyota’s vast R&D firepower. Toyota would try to build on Suzuki’s experience in the small car market in India, which is the country’s largest selling segment.
Some of Maruti Suzuki’s bestsellers in India are the compact Alto and Baleno hatchbacks as well as the compact SUV Vitara Brezza.