Maruti to launch five new CNG versions by August

In a bid to save its threatened market share in the Indian market, auto giant Maruti Suzuki India (MSI) is all set to launch not one or two but as many as five of its portfolio models in CNG version in the second week of August . The company will launch all of these variants simultaneously in a single day. The cars which will be launched in the CNG versions in the Indian market include some of the most popular Maruti cars in India such as, best-selling Maruti Alto, recently launched new Maruti Wagon R, compact hatch Maruti Zen Estilo, multi-purpose vehicle Eeco and entry level sedan Maruti SX4.

It is to be mentioned here that the market share of this largest car maker of India fell to 47.59 percent in the month of June 2010 from 55 percent registered during the same period last year. While the total passenger car sales in the Indian market were 4,33,641 units in the first quarter of this financial year, Maruti India sold as many as 2,06,377 units of its cars during this period. By launching CNG versions of 5 of its popular cars in India, the company will certainly enjoy the first movers advantage as very few cars are available in factory fitted CNG versions in the Indian market so far.

According to Mr Shashank Srivastava, Chief General Manager (Marketing) at MSI, the CNG models will be very important in company’s portfolio. He added that Maruti is the first company to come out with factory-fitted CNG cars and it will have the first mover’s advantage in the market. He added that It is the launch of a technology, not the cars. It is the concept of factory-fitted CNG models.

While briefing to the reporters regarding the launch of new Maruti Alto K-10, Mr Srivastava said that the company is expecting about 25 per cent increase in Alto’s sales after the launch of the new variant — Alto K-10. The Maruti Alto is the best selling car in the Indian market clocking sales of more than 20,000 units per month.

Compact car ‘A Star’ is born

Maruti Suzuki is all set to launch its much-awaited next generation ‘K’ series engine that will be introduced in all its cars in India in the next three to five years. It will also be critical for the success of Japanese Suzuki Motor Corporation’s future strategic global models.

Being seen as a “generational change” in Suzuki’s engine technology, the ‘K’ series engine will be rolled out from Maruti Suzuki’s new engine plant at its Manesar (Gurgaon) complex next month. Apart from being Euro IV and Euro V-compliant, the new engine will be highly fuel-efficient that will be first introduced in soon-to-be-launched global car ‘A Star’.

Both Suzuki and its Indian subsidiary Maruti are banking heavily on its compact world car ‘A Star’ that will be equipped with new one-litre petrol engine. Japanese carmaker Suzuki hopes that the “green engine” would give it a strong foothold in the European markets. And for Maruti Suzuki, the new compact car would help further consolidate its position in the Indian car market and prove to be a timely answer to other newer products being launched by its competitor in the fast growing Indian automobile market.

The new engine holds much significance for Suzuki whose Chairman O. Suzuki, is on a three-day trip to India from Monday. He will also be visiting the new engine facility, that is part of the Rs. 9,000-crore investment being made by Suzuki Motor Corporation in India, and discuss the company’s future strategy vis-a-vis the ‘K’ series engine with Maruti’s top management. Mr. Suzuki would also preview ‘A Star’ at the Manesar (Gurgaon) assembly plant that is undergoing capacity expansion to reach three-lakh units.

‘A Star’ will make its India debut within a few weeks and then enter the European market early next year. While its one-lakh units would be exported to Europe, 50,000 units will be sold in the domestic market.

Currently, Maruti Suzuki has five types of engines used in its different models. The F-series engines in the Maruti 800, Omni, Wagon R and Zen Estillo, the G-series (two variants) in the Swift, Dzire, Esteem and Versa, the M-series in the SX4, and the K-series in the ‘A Star’.

Car-mania continues despite inflation

HYUNDAI Motor India Ltd (HMIL) on Monday reported a34 per cent increase in domestic car sales during June at 21,881 units while the country’s largest car maker Maruti Suzuki recorded a flat growth of 0.7 per cent selling 56,411 units during the month. SUV maker Mahindra &Mahindra (M& M), which markets diesel- run vehicles, recorded an eight per cent growth during the month. Hyundai did well with its i10 and Santro, while Maruti Suzuki notched up a high growth of 48 per cent in the A3 segment with its Swift Dzire and Sx4 models, selling as many as 5,807 units during the month, compared to 3,923 units in June last year. Inclusive of exports, Maruti Suzuki India Ltd reported a slightly higher growth of 2.22 per cent rise in total vehicle sales during June at 61,247 units, compared to 59,917 units in the same month last year.

In the A2 segment, comprising Alto, Zen Estillo, Wagon R and Swift, the company registered a marginal growth of 0.3 per cent at 37,767 units, against 37,646 units in the same month last year. Its M800 model recorded 13.73 per Maruti Suzuki’s sales grew 48 per cent year- on- year cent decline at 5,361 units in June, compared to 6,214 units during the corresponding month last year. Exports during the month stood at 4,836 units compared to 3,917 units in the same month last year, up 23.5 per cent. Hyundai’s overall sales, including exports, were up 45.3 per cent at 40,182 units during June compared to 27,653 units in the same month a year ago, said a company statement. Its exports for the month rose to 18,301 units, against 11,318 units during the same month of the previous year. HMIL sold 33,859 units of hatchbacks Santro, Getz and i10, 6,272 units of Accent and Verna, 47 units of Sonata Embera and four units of its SUV Tucson in June. “At a time when the industry is already under tremendous pressure because of higher interest rates, rise in fuel costs and rising inflation, it is indeed heartening to see that Hyundai products continue to be an affordable and attractive buy for most car buyers,’’ the company’s vice- president Arvind Saxena said.

The company’s i10 has done well and it has sold over 1,00,000 units in less than six months since its launch, he added. Mahindra &Mahindra said its domestic sales in June went up by 8.17 per cent to 18,179 units, against 16,805 units it sold in the same month last year. Its total sales, including exports, grew 8.78 per cent to 19,371 vehicles, compared to 17,807 units in the corresponding period last year, the company said in a statement.