Suzuki eyes the small electric car segment after the e VITARA launch in India


Published: 27 Jan 2025

Author: Precedence Research

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Suzuki Motor Corporation announced to enter the small electric car segment, and the company will take lessons from its first electric vehicle, the SUV e VITARA. The global unveil of the e VITARA is scheduled to happen in India, and the country will also serve as the production hub for the company. While sales in the small car segment are declining, Suzuki says that this segment is crucial for India, as millions of two-wheeler owners want to upgrade to four-wheelers. It said that market leader Maruti Suzuki India sees persistent demand, as there are millions of two-wheeler owners needing affordable, good cars in the small segment. The e VITARA is to be released at the Bharat Mobility Global Expo 2025. Suzuki wants to first learn the art of EV manufacturing, and then go for a small electric vehicle car. It will shift to EVs in small cars only when it finally masters the technology.

Suzuki

India: A Major Production and Export Hub

Suzuki has stated that India has emerged as the world's largest manufacturing base for its e-VITARA and other electric scooter variants. The company looks forward to exploiting economies of scale in India to export quality products to the European market, the Middle East, Africa, Japan, Central and South America, and other Asian nations. Suzuki India has already achieved its highest exports in a calendar or fiscal year at 3.26 lakh units in the calendar year 2024. The e-VITARA is set to follow that, with initial exports going to Europe and Japan first before being applied to other global markets. Its strength lies in scale merit in India, which it is determined to fully exploit to supply its products globally. 

Outlook for Small Cars in India 

Despite rising SUV traction in India, Suzuki Motor Corporation sees potential in the market for small cars moving forward. Given its affordability, Suzuki believes that small cars will form the mainstream segment of Indian automobiles. In its EV strategy, Suzuki considers consumer needs and refines its offerings based on feedback from the first e-VITARA customers to enhance its products for the market. This iterative approach will pave the way for a small EV that caters to the increasing demand for compact and efficient electric mobility solutions. Suzuki's focus on India as a production and export hub emphasizes the country's importance in the global EV market. The e-VITARA is a significant step in Suzuki's EV journey. It will continue to enter the small car segment in the future.

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