Maruti Suzuki to Hike Capacity 25% in India

Maruti Suzuki India Ltd. says it aims to boost its annual carmaking capacity to 2.2 million units in by 2020 from 1.75 million currently.

The joint venture, which is 56% owned by Suzuki Motor Corp., controls slightly more than half the Indian passenger car market. The company is spending $548 million to double annual capacity at its Gujarat plant to 500,000 units in the next few months, then add a third line by early 2020 that will raise the facility’s production ceiling to 750,000 vehicles per year.

The Gujarat facility currently makes the Baleno 5-door hatch supermini and best-selling Swift subcompact hatchback. Maruti Suzuki also operates assembly plants at Gurugram and Manesar, each with 750,000 units of capacity.

The company hopes to approximately triple its sales in India to 5 million vehicles by 2030.