Maruti Suzuki Invests $550M to Boost Annual Capacity by 1 Million Vehicles in India

Maruti Suzuki, India's largest automaker, recently announced an investment of approximately $550 million to acquire land for expanding its annual production capacity by up to 1 million vehicles, in response to sustained growth in domestic and export demand. The expansion will be financed through a combination of internal funds and external borrowing. The company noted that delivery lead times for entry-level models have already extended to about six weeks, and domestic sales surged 37% year-on-year in December 2025, reaching a record high of 178,646 units. This move follows the company’s August announcement last year to invest $8 billion in India over the next five to six years and commence mass production of the e Vitara electric SUV at its Gujarat plant. Suzuki aims to transform this facility into one of the world’s largest automotive manufacturing hubs and establish India as its global production base for battery electric vehicles. To date, Suzuki has surpassed 30 million cumulative vehicle sales in India, making the country its largest market worldwide.