Japanese automotive giant Suzuki Motor Corporation has announced its plans of investing INR 10,440 crore to strengthen its EV strategy. As the parent company of Maruti in India, Suzuki has previously stated its plans of working on an electric SUV. The automaker had also mentioned that it will build this all-electric SUV at its Gujarat plant by 2025. Maruti Suzuki will also continue its alliance with Toyota by selling the electric SUV via both brands in international markets.
Confirmation of the investment came in the form of a Memorandum of Understanding signed between Suzuki and the Gujarat Government. The two entities presented the document at the ongoing India-Japan Economic Forum in New Delhi, where renowned entities are in attendance. Indian Prime Minister Narendra Modi and Japanese Prime Minister Fumio Kishida made their presence known during the MoU’s signing. The document showcased by Suzuki Motor Corporation showcases a timeline of investments between 2025-2026, along with the construction of new projects.
Suzuki Motor Corporation: Agendas & Investment plans
According to previous reports, Maruti Suzuki and Toyota both confirmed the introduction of an all-new electric SUV in India. The mid-size SUV will reportedly rival the likes of the Hyundai Creta thanks to a bigger size with skateboard architecture. Maruti has codenamed its version the YY8, which will use the 27PL platform, a variant of Toyota’s 40PL global platform. As per the MoU, Suzuki Motor Gujarat (SMG) will invest INR 3,100 by 2025 to increase production capacity for BEV manufacturing.
Following this, SMG will then construct a plant for producing BEV batteries by investing INR 7,300 crore by 2026. Finally, the Maruti Suzuki Toyotsu India (MSTI) alliance will construct a vehicle recycling plant by investing INR 45 crore by 2025. Suzuki and Toyota will work together to introduce the YY8 and its counterpart across India and other global markets.
Sources suggest that these models will arrive in Europe by October 2024 and India during the first half of 2025. In terms of exports, both the automakers will reportedly target an annual production volume of around 1,25,000 EVs. Both automakers will reportedly produce 60,000 EVs for India, 40,000 EVs for Europe, and 25,000 EVs for Japan.