Indian car market set to hit 6.3 million units by FY31: Maruti chairman

The Indian car industry is projected to grow to 6.1 to 6.3 million units by FY2030-31 and the share of the small car market would grow significantly faster than its pace of growth in the last five years, RC Bhargava, Chairman, Maruti Suzuki India Limited, said on Sunday.

Bhargava said that GST reforms have given a new impetus not only to the automobile industry but to several sectors of the economy and “We are in the process of making as accurate an estimate as possible of the likely growth of the car market in the next five years”.

Maruti Suzuki India has released its ‘Annual Integrated Report 2025-26’, which highlights how the revival of the small car segment, the strengthening of the company’s SUV portfolio, its multi-powertrain strategy, focus on capacity expansion and robust export performance have created fresh momentum for growth.

The automaker registered its highest-ever annual sales of 24.22 lakh vehicles and record exports of 4.47 lakh vehicles in FY 2025-26.

Having achieved the 2 million sales mark for the third consecutive year, the company, supported by all the key growth drivers in place, is optimistic about reaching its next million-vehicle milestone earlier than anticipated, according to a statement.

Hisashi Takeuchi, Managing Director and CEO, Maruti Suzuki India Ltd, said that “we accelerated our capacity expansion plans. During FY2026-27, we added 500,000 units of manufacturing capacity”.

“Customer expectations continue to evolve rapidly. The company has plans to introduce 7 SUVs in the next 5 to 6 years to further strengthen SUV portfolio,” Takeuchi informed.

As India progresses towards becoming a developed nation by 2047, the automobile industry has both a responsibility and an opportunity to contribute meaningfully to this journey.

“Through manufacturing, exports, technology development, employment generation, skill creation and sustainable mobility, Maruti Suzuki remains committed to supporting India's aspirations. The next million sales of vehicles represent far more than a volume milestone,” he mentioned.

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