CNG Cars and Maruti Suzuki ED on SUVs
Maruti Suzuki’s ED, Mr Shashank Srivastava, commented on the recovery in rural market demand and the effect of the third wave of Covid-19. Cars being the second-largest purchase of people in India is now subjected to the economy in general as the GDP and the per capita income of India witnessed a downfall after the second wave of the pandemic.
Though the fundamentals of the economy are strong in rural India, the rural sentiment is still negative this year due to Covid-19.
ED further stated that during the third wave the car companies have to be cautious. The inquiry levels and bookings are also developing as some States are unlocking. CNG is known for being fuel-efficient and for its cost of running and this year projected sales of CNG cars is almost 2,50,000.
There are many Maruti cars in the SUV segment like Brezza, Celtos and Creta. The SUV segment of Maruti seems to be a weak area so, this year Maruti will be conscious and will look closely at this segment. Over the last year the plant utilisation is in better condition, and after the production started on May 17 Maruti’s utilisation is strong.
Semiconductors are confronting a global shortage but Maruti is supervising the production taking the benefit of the large portfolio with numerous vehicles using different categories of semiconductors.