Japanese auto major Suzuki Motor Corp, which holds a majority stake in India’s largest car maker Maruti Suzuki, on Tuesday announced its roadmap for the next five years that will see it launch 20 new products with the aim of achieving 3.4 million in sales, a 14% increase from the current 2.98 million.
Japan’s fourth-largest car maker said India would be the prime driver of its growth, with estimated production of 2 million by 2020, almost 3 times its sales in Japan. India’s contribution to Suzuki’s global car sales is expected to go up from 40% to nearly 60% by then.
The firm’s 85-year-old CEO Osamu Suzuki on Tuesday also named his eldest son Toshihiro Suzuki as the new president and chief operating officer effective Tuesday, easing investor concerns over the firm’s succession plan, and boosting the company’s shares in Japan by 5%.
Osamu Suzuki stays on as CEO and chairman. Further, by the turn of this decade, India is expected to overtake Japan as world’s third-largest car market.
At present, around 6 million cars are sold in Japan against India’s 3 million.
“Strengthening its Indian operations is of strategic importance to Suzuki as its future depends largely on what happens in India.
I am confident we will be able to hold on to our 45% market share till 2020,” said RC Bhargava, chairman, Maruti Suzuki.
Most of its new product development will centre around the needs of the Indian market. Suzuki will launch 5 new minicars, six A segment (Alto range) and three models each in B segment (Swift), C segment (Ciaz) and the SUV segment.