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Informist, Thursday, Sept. 11, 2025

 

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--Maruti Suzuki: Have network stock of almost 50 days now 
--CONTEXT: Comments by Maruti Suzuki ED Banerjee on event sidelines 
--Maruti Suzuki: Expect auto industry to grow 6-7% next year 
--Maruti Suzuki: Enquiries have gone up by 15% for all cars recently 
--Maruti Suzuki: Long-term plan in place to regain 50% market share

 

By Anand JC

 

NEW DELHI – Maruti Suzuki India Ltd. expects automotive industry sales to bounce back to a compound annual growth rate of 6-7% next year onwards, higher than the ongoing growth of low single digit, Executive Director Partho Banerjee said on the sidelines of the 65th Annual Convention of the Society of Indian Automobile Manufacturers on Thursday.

 

He said the first six months of the ongoing financial year have not been as good in terms of sales and growth will return to normative rate of 6-7% only next year onwards. Automobile industry was expecting a growth of 1-2% for the ongoing financial year.

 

Automobile companies are expecting a higher growth rate going forward after the government cut goods and service tax rates across majority segments effective Sept. 22. Maruti Suzuki is already seeing an increase in traction at its showrooms. "We are seeing a very good traction. Our enquiries have gone up to the tune of 15%. So, in our auto business, first thing is the enquiries," Banerjee said.

 

Maruti Suzuki had announced that it will pass on the full benefit of GST cut to its customers. The Swift-maker is also helping dealers by reducing their inventories. "We have already launched a scheme for the big cars. That whatever is the GST benefit from the big cars, we are offering to the customer the post-GST prices," Banerjee said. Large cars currently attract a GST of 28% and an additional 17-22% in compensation cess, which will be reduced to a flat rate of 40% under the new regime. 
 

The network stock with Maruti Suzuki's dealers is currently almost 50 days, Banerjee said. The company stopped shipping cars to its dealers after the new GST regime was announced to help control inventory at the dealership level. "There has been a request from our channel partners that in order to meet the festival demand, they need the cars in time. So, we are just working it out what best is possible," Banerjee said.

 

Maruti Suzuki recently unveiled its new mid-sized sport utility vehicle Victoris, which will be its only launch this year in India apart from the e Vitara. The Maruti Suzuki e Vitara was unveiled at the Bharat Mobility Expo 2025 in January and was supposed to hit the Indian roads by September. However, plans have been delayed. The company still expects the car to be sold in India in this financial year, Banerjee said.

 

The company which has traditionally held the lion's share in India's passenger vehicle market, has seen its market share drop to around 40% in recent years amid intense competition and customers' increased preference for larger cars. Banerjee said the company has a strategy in place to clawback its market share in the coming years.

 

"Long term, we have a plan to reach to 50%. So, we are working on it," he said.  End

 

Edited by Akul Nishant Akhoury

 

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