Maruti Suzuki plans to set up a new factory, the company will also launch EV

 

The country's largest car maker Maruti Suzuki said on Wednesday that it is planning to set up a new manufacturing plant in view of the projected increase in demand for exports as well as in the country. The capacity of this plant will be up to 10 lakh units annually. The company has earmarked around Rs 8,000 crore for capital expenditure in the current financial year. The company has not finalized the location of the new plant and the investment to be made on it. 

Maruti said that its board has given in-principle permission to create a capacity of one million units annually at the new plant. At the end of the last financial year, Maruti had cash reserves of around Rs 45,000 crore. companyToyota revealed that it will get a bigger three row strong hybrid model under its collaboration with Toyota. After announcing the company's fourth quarter results, Maruti Suzuki's chairman, RC Bhargava, said that the new plant will be separate from the manufacturing plant coming up in Sonipat, Haryana. The new plant will be integrated with the company's Sonipat plant. 

The company is investing Rs 11,000 crore in the first phase of the plant in Sonepat. Its initial capacity will be 2.5 lakh units annually. The plant is likely to be commissioned in 2025. Bhargava said, “We, along with Suzuki, have forecasted the demand situation in the next eight years, by which time the capacity of the Kharkhoda plant in Sonepat is likely to be fully utilised. Due to this, we have decided to create an additional capacity of one lakh units. has decided." 

Talking about plans for electric vehicles, he said the company aims to include six electric models in its portfolio by 2030. MarutiLtd. has plants at Manesar and Gurugram with a total production capacity of about 1.5 million units. The company also benefits from the Gujarat plant's capacity of 7.5 lakh units under its contract manufacturing agreement with Suzuki Motor Gujarat. In the last financial year, Maruti has sold the highest ever sales of 19,66,164 units. This includes 16,44,876 units sold in the domestic market, 61,995 units sold to other OEMs and 2,59,333 units exported.