TL;DR
Maruti Suzuki forecasts India's passenger vehicle market to hit 6.3 million units annually by FY31, driven by renewed small car demand and strong SUV sales, with significant investment in production and new models.
Maruti Suzuki India's Chairman, Mr. R.C. Bhargava, has projected that India's passenger vehicle market will expand to an annual 6.1-6.3 million units by FY31. This significant growth is anticipated to be fueled by a resurgence in demand for small cars and sustained strong interest in sport utility vehicles (SUVs).
The company is currently revising its five-year growth forecasts, expecting the small-car segment to grow considerably faster than in the previous five years. Maruti Suzuki recorded 2.42 million vehicle sales in FY26, including a record 447,000 exports, and aims to achieve its next million-unit sales milestone sooner than initially planned.
To meet the projected market demand, Maruti Suzuki is bolstering its production capabilities, with plans to add 500,000 units of manufacturing capacity in FY27. The company also intends to invest approximately Rs 35,000 crore (US$ 3.67 billion) to increase its annual production capacity to 3.65 million vehicles by FY31. Furthermore, Maruti Suzuki plans to launch seven new SUVs over the next five to six years and is investing Rs 561 crore in four biogas plants as part of its clean-energy strategy.
