Café 3 Clash:

MARUTI

Defends Weight-Based Exemptions Amid Industry Divide

has renewed its call for policy support for small cars under the upcoming Café 3 fuel efficiency norms, arguing for weight-based relaxations similar to global standards. With rival automakers opposing such relief, the industry remains divided ahead of the April 2027 rollout, raising questions about the future of India’s compact car segment. - Maruti Advocates Weight-Based Relaxations Maruti Suzuki urged policymakers to retain exemptions for small cars under Café 3 norms, citing global precedents. Countries like China, Europe, Korea, Japan, and the US offer structured relief based on vehicle weight or footprint, which Maruti says is essential to preserve affordability and segment diversity. - Industry Rift Widens Ahead of April 2027 Rollout Hyundai, Tata Motors, and Mahindra have opposed weight-based relief, arguing it dilutes the push for cleaner technologies and compromises safety. The Society of Indian Automobile Manufacturers (SIAM) has failed to reach a unified stance, deepening the divide within the industry. - Draft Norms Offer Limited Relief for Sub-960 kg Vehicles The government’s draft, released on 25 September, proposes a modest 3-gram benefit in fuel efficiency calculations for vehicles under 960 kg. Maruti contends this is a minimal advantage and warns that without meaningful support, small cars could disappear from the market. - Safety vs Affordability Debate Intensifies Tata Motors’ CEO Shailesh Chandra argued that no small car currently meets top-tier safety ratings, and incentivizing them through relaxed norms may not be prudent. He suggested aligning definitions with GST norms (cars under 4 metres) rather than weight-based exemptions. While expanding its SUV lineup, Maruti maintains its commitment to small cars, positioning itself as a segment custodian. The outcome of this policy debate could reshape India’s auto landscape, influencing affordability, emissions, and consumer choice in the years ahead.