Maruti Suzuki India is looking at high levels of localisation for its first electric vehicle.
This would mean being fitted with India-made cells, said CV Raman, CTO, Maruti Suzuki India, at Mobility FutureTech organised by Mobility Outlook in Delhi on June 8.
In August 2022, Suzuki Motor Gujarat announced an investment of INR 7,300 crore for a battery manufacturing plant in Hansalpur for both the local market and exports. Suzuki Motor Corporation had earlier entered into an MoU with the Gujarat government to spend around INR 10,440 crore for local production of battery electric vehicles/batteries.
The EVX, Maruti Suzuki's first EV, will enter into series production in Q4 2024 and be launched in Q1 2025. It will be retailed through the premium NEXA channel. Raman said cost was the key in India and this had helped Maruti Suzuki meet the needs of consumers for decades.
While Tier 1 suppliers are opening up to the new EV age and developing specific products, China continues to have a monopoly over cells, catering to 80% of global demand.
Raman said the EVX e-SUV would get localised cells which would bring down costs. According to him, while India adapts to any new technology faster than other nations, pricing remains the chief criterion.
Maruti Suzuki expects the EV market to grow to roughly 3% in 2024-25, up from the earlier 1%. Beyond that, it will rise to around 17% in 2030, indicating that one million of the six million cars will be EVs.
According to Shashank Srivastava, Senior Executive Officer (Marketing & Sales), EVs will become popular someday although the timing is uncertain. One of the primary challenges is the cost of acquisition.
In Suzuki’s Integrated Report 2022, Toshihiro Suzuki, Representative Director and President, Suzuki Motor Corporation, stated that in the transition to electrification, it was critical to analyse EV design and the timing of its market debut with a balanced approach.
He said the company would create the 'right EVs for the right place at the right time' by balancing cost, driving range and equipment. 'Our policy is to bring EVs to market at the appropriate time,' reiterated Suzuki.
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