Wednesday, June 29, 2022
By Kamal Swami
Maruti Suzuki In Mood To Stop The Production of Small Cars
Recently the honourable Minister of Road Transport & Highways Nitin Gadkari announced that the government is going to make the availability of six-airbags compulsory in all motor vehicles which have the seating capacity for eight passengers. It is believed that the implementation of this decision will help to control the increasing number of deaths in road accidents. However, at the same time, it will also increase the cost of cars, especially the entry-level hatchbacks.
Expressing his thoughts on the statement by the Minister of Road Transport & Highways, Mr R C Bhargava, Chairman, Maruti Suzuki India Limited, said, “the company will not hesitate to discontinue small cars if the cost of the vehicle keeps increasing due to government policy interventions”. He also added that this will increase the cost of small cars, and reduce the production and sales of the vehicles.
Bhargava believes the increase in the cost of small cars will force the buyers of entry-level hatchbacks toward two-wheelers, which are not as safe as four-wheelers. According to him, the company will continue to make profits from its bigger cars. He also added that manufacturing small and low-cost cars is not possible for many manufacturers. It will leave an adverse impact on the economy and the growth of the car market.
At present, the Indo-Japanese carmaker is going to launch the next generation of its compact SUV Vitara Brezza as the 2022 Maruti Brezza. In its new version, the Brezza will undergo multiple cosmetic updates on both interior and exterior front along with mechanical updates. It will come in overall 10 trims and will receive the power from a 1.5-litre K15C smart hybrid petrol engine.