India’s leading carmaker, Maruti Suzuki India (MSI) has indicated that it is planning to expand its presence in the diesel cars segment.
Chairman R C Bhargava said that the company is aiming to capture a 40 per cent market share in the domestic passenger vehicle market and it might need to expand production of vehicles and engines. While speaking at the annual general meeting of the company he said that diesel vehicle market account for as much as 80 per cent of the sales of some players and MSI needs to expand its presence in the segment.
The company’s market share in the domestic passenger vehicle market is at 38.61 per cent with a sales of 3,34,288 units, according to the latest figures released by the industry body, Society of Indian Automobile Manufacturers..
Bhargava said, “By 2014, we should have a total capacity of 7 lakh diesel engines. We are also examining if we would need more diesel engine capacity after that if the (fuel) policy remains as it is today.”
MSI is setting up a Rs 1,700 crore diesel engine plant at Gurgaon which will have an initial capacity of 1.5 lakh units next year that will be expanded to 3 lakh by 2014. Suzuki Powertrain India Ltd also provides diesel engines to the company and it will also source the units from Fiat in India.
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