Maruti Suzuki Targets 3.65 Million Annual Production Capacity by FY31 Amid Market Surge

Driven by a resurgence in small-car demand and sustained momentum in the SUV segment, India’s annual passenger vehicle market is projected to reach 6.1–6.3 million units by FY31. In response to this expanding market, Maruti Suzuki India is revising its five-year growth targets following a strong FY26 performance, where it achieved 2.42 million total sales, including a record 447,000 exports. To capture this growth, the automaker plans to expand its manufacturing capacity by 500,000 units in FY27 as part of a broader ₹35,000 crore (US$ 3.67 billion) investment strategy designed to elevate its overall annual production capacity to 3.65 million vehicles by FY31. To bolster its market position and navigate supply-chain vulnerabilities, Maruti Suzuki plans to launch seven new SUVs over the next five to six years while heavily prioritizing local sourcing and domestic supplier development. Additionally, as part of its sustainability initiative, the company’s board has approved an initial ₹561 crore (US$ 58.84 million) allocation to set up four biogas plants. This clean-energy investment aims to curb reliance on imported compressed natural gas, align with India’s net-zero objectives, and reinforce the broader domestic automotive manufacturing ecosystem. $MARUTI