Suzuki Motor Corporation Signs MoU To Invest Rs 10,440 Crore For Making Electric Vehicles And Batteries In India

Out of this amount, Rs 3,100 crore will be invested for increasing production capacity to start making electric vehicles by 2025.

In an attempt to lay a strong foundation for its plans in electric mobility for the future, Suzuki Motor Corporation, the parent company of Maruti Suzuki India Ltd, has announced an investment of Rs 10,440 crore. The core plans behind this investment are the production of new electric vehicles and the development of new-generation batteries for electric vehicles.

The announcement took place as a part of the Memorandum of Understanding (MoU) signed between the Central Government and Suzuki Motor Corporation. This MoU was signed in the presence of Prime Minister of India, Mr Narendra Modi, and the Prime Minister of Japan, Mr Fumio Kishida, at the Japan Economic Forum at New Delhi on 19th March 2022. Other attendees of the event were Toshihiro Suzuki, Representative Director and President, Suzuki Motor Corporation and Mr Kenichi Ayukawa, Managing Director & CEO, Maruti Suzuki India Limited.

Out of this total investment of Rs 10,440 crore, Rs 3,100 crore will be invested for increasing production capacity to start making electric vehicles by 2025. Also, Rs 7,300 crore is reserved for the construction of an all-new manufacturing plant for electric vehicle batteries by 2026.

The signee for both these investments was Suzuki Motor Gujarat, a subsidiary of Suzuki Motor Corporation. The remaining Rs 45 crore will be invested for the construction of a vehicle recycling plant by another subsidiary of SMC, Maruti Suzuki Toyotsu India, by 2025.

Under the Rs 3,100 crore investment plan, Maruti Suzuki will be introducing a new all-electric vehicle, which will mark the foray of India’s largest carmaker in the EV space. Commenting on the occasion of signing the MoU, Toshihiro Suzuki said that Suzuki intends to achieve carbon neutrality with small cars, which have always been the forte of Suzuki in the Indian car market. He also added that this investment is a part of Maruti Suzuki India Ltd.’s varied attempts in the ‘Atmanirbhar Bharat’ (Self Reliant India) campaign.