Maruti Suzuki India, the country’s largest automaker, will only launch electric vehicles in the country after 2025!
Maruti Suzuki India said as of now the demand is low for electric vehicles and since the company is targetting to sell 10,000 units per month, the launch will take some time
Why Maruti Suzuki Plans For Electric Vehicle After 2025?
Addressing a virtual conference on the company’s second-quarter earnings, he said it is difficult to forecast the cost of electric vehicles, batteries, or how the infrastructure will be created at this time.
As many aspects of the EV ecosystem, including batteries, charging infrastructure, and power supply, are handled by third parties, and electric supplies are done by other parties therefore costing is out of the company’s hands.
With rising fuel prices, Maruti Suzuki India, the country’s largest automaker, is focusing even more on CNG models.
“Unfortunately, we will not feel happy if we can (sell) 300 or 400 or 500 or even 1,000 cars (a month). For some reason, we have gone too much higher volumes, and volumes in 100s and even 1,000s, are very good, but they leave us a little unexcited…So we have to see if I start selling EVs I would like to sell maybe 10,000 EVs in a month or something like that,” Bhargava said.
A question was asked related to the growing demand for electric vehicles in India and the company’s position in the market
Elaborating, he asked, “If I’m selling 2 million cars a year, which I think it will be when things normalise, does it make sense to sell a car less than 1,00,000 a year out of 2 million?”
“I have to have a more saleable car, there has to be greater demand for the product. All Maruti products launched have had very significant demand,” Bhargava asserted.
When asked related Maruti’s electric vehicle launch, he responded, “If I were to give you an outside estimate, it would be after 2025.”
EVs Market Conditions
According to Bhargava, it is difficult to forecast the cost of electric vehicles, batteries, or how the infrastructure will be created at this time, and “the costing is not in our control at all.”
He stated that the launch of an Ev will only be determined by market conditions.
“In any case, our programme of launching an electric vehicle is not going to change because of the PLI scheme. I think a launch date or when you expect to launch the vehicle is something to be decided basically by Suzuki in Japan.”
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