India Buying Less of Entry Level Maruti Suzuki Cars In September, production of Mini and Compact cars stood at 101,554 as against 128,604 in September 2022. Similarly, in August 2023, a total of 98,056 units in Mini and Compact Sub-segment categories were produced compared with 105,973 units in August 2022
Opinions expressed by Entrepreneur contributors are their own.
You're reading Entrepreneur India, an international franchise of Entrepreneur Media.
Globally, Alto is the top-selling model of Maruti Suzuki and has played a very significant role for Suzuki's mini vehicles as well as for the history of the company. Starting as a Japanese mini vehicle, Alto has expanded worldwide, especially in India where it has largely contributed to Suzuki's sales in the country. However, In India, last month, production of entry level cars -- Alto and S-Presso -- declined by 70 per cent to 10,705 units from 35,887 units in the year-ago period, similarly, production of models like Baleno, Celerio, Dzire, Ignis, Swift and WagonR, declined to 90,849 units in September as against 92,717 units in the same month last year. In September, total production of Mini and Compact cars stood at 101,554 as against 128,604 in September 2022.
Reflecting a similar sentiment, in August 2023, a total of 98,056 units in Mini and Compact Sub-segment categories were produced compared with 105,973 units in August 2022. The combined production of the Alto and S-Presso models amounted to 11,932 units, a decrease compared to the 20,768 units produced in August 2022.
By the end of August 2023 Suzuki Motor Corporation had accumulated worldwide automobile sales of 80 million units. India contributes 32.6 per cent of its global market. Alto, which was launched in 1979 accounts for 20 per cent of the 80 million units. Over the past 44 years since its launch, Alto has been favored by customers and has become one of the models that represent Japanese mini vehicles.
"We are grateful to be favored by so many customers. Alto is our top-selling model, and it has played a very significant role for Suzuki's mini vehicles as well as for the history of the company itself. We will make further efforts to provide value that expresses our manufacturing core of Sho, Sho, Kei, Tan, Bi (Smaller, Fewer, Lighter, Shorter, Beauty) by standing once again on the origin of customer-focused value, a spirit which has been passed on from our founder," said Toshihiro Suzuki, President, Suzuki.
Recent Sales In India
The total production of Maruti Suzuki India declined by 1 per cent to 1,74,978 units in September compared with 1,77,468 units in September 2022. Total passenger car production dropped by 21 per cent to 1,03,858 units last month as against 1,31,258 units in the year-ago period.Total passenger vehicle production fell marginally to 1,73,451 units last month over 1,73,929 units in September 2022.
The total passenger cars produced in August 2023 was 100,560 compared with 108,488 in August 2022, a decline of 7 per cent. However, in August 2023, Maruti Suzuki manufactured a total of 51,175 units of utility vehicles, an increase compared to the 35,607 units produced in the same month last year. The production in the compact category, including Baleno, Celerio, Dzire, Ignis, Swift, WagonR, and OEM Model, reached 86,124 units in August 2023, an increase from the 85,205 units produced in August 2022. So, the total production volume in August 2023 was 165,405 units compared to 159,815 in August 2022.
The Backstory
In 1975, Suzuki's first overseas automobile production started in Pakistan, and has since proactively expanded the overseas production bases including India in 1983 and Hungary in 1992. In India, the plants have become a production hub not only for the Indian domestic market but they also play a role for exports to destinations including Africa. Up to this date, Suzuki has 15 automobile production bases in 10 countries including Japan.
"We will continue providing eco-friendly products and services that support daily transportation of customers throughout the world, and are always beside to become a reliable, buddy-like lifestyle partner," added the president.