Maruti to Build Fewer Gasoline-Powered Models

Maruti Suzuki India Ltd. has cut production of gasoline-powered cars and SUVs by as much as 15% because of weak demand, The Wall Street Journal reports.

Gasoline costs nearly 80% more than diesel fuel in India because of government subsidies for the latter.

Two unidentified suppliers tell the newspaper that output of the Alto subcompact hatchback, which has no diesel variant, has been hit the hardest. They estimate production has been slashed 27% to 1,100 units per day.

Diesel-powered vehicles accounted for 40% of India's new-vehicle market in the fiscal year ended March 31, double their share the previous year.