Indian car market to hit 6.1–6.3 mn units by FY31: Maruti Suzuki chairman
Synopsis
Maruti Suzuki's chairman has put a number on India's auto ambitions — 6.1 to 6.3 million cars annually by FY31. With record sales of 24.22 lakh units, 500,000 new units of capacity added, and 7 SUVs in the pipeline, India's largest carmaker is betting that the small car revival and an SUV push can together sustain a growth curve that has now crossed 2 million units for three straight years.
Key Takeaways
RC Bhargava , Chairman of Maruti Suzuki India , projected the Indian car market to reach 6.1–6.3 million units by FY2030-31 .
The small car segment is expected to grow significantly faster than its pace over the previous five years.
Maruti Suzuki posted its highest-ever annual sales of 24.22 lakh vehicles and record exports of 4.47 lakh vehicles in FY 2025-26 .
The company added 500,000 units of manufacturing capacity in FY2026-27 .
Maruti plans to launch 7 new SUVs over the next 5 to 6 years .
The company has crossed the 2 million annual sales milestone for the third consecutive year .
The Indian passenger car industry is projected to reach 6.1 to 6.3 million units by FY2030-31, with the small car segment expected to grow significantly faster than it did over the previous five years, RC Bhargava, Chairman of Maruti Suzuki India Limited, said on Sunday, 9 August 2026. The forecast was disclosed alongside the release of the company's Annual Integrated Report 2025-26.
Bhargava's Market Outlook
Bhargava said the company is working on the most accurate estimate possible of car market growth over the next five years. He credited GST reforms with giving 'a new impetus not only to the automobile industry but to several sectors of the economy.' The revival of the small car segment, in particular, is seen as a key driver of this projected acceleration — a notable shift given that the entry-level segment had been under pressure for several years.
Record Sales and Capacity Expansion
Maruti Suzuki India posted its highest-ever annual sales of 24.22 lakh vehicles in FY 2025-26, alongside record exports of 4.47 lakh vehicles. The automaker has now crossed the 2 million annual sales mark for the third consecutive year and is, according to its own statement, optimistic about reaching its next million-vehicle milestone earlier than previously anticipated.
Hisashi Takeuchi, Managing Director and CEO of Maruti Suzuki India, said the company 'accelerated our capacity expansion plans,' adding 500,000 units of manufacturing capacity during FY2026-27. Takeuchi also announced plans to introduce 7 new SUVs over the next 5 to 6 years to strengthen the company's SUV portfolio, responding to rapidly evolving customer expectations.
SUV Push and Multi-Powertrain Strategy
The Annual Integrated Report highlights four pillars underpinning Maruti Suzuki's growth momentum: the revival of the small car segment, a strengthened SUV portfolio, a multi-powertrain strategy, and robust export performance. The multi-powertrain approach — spanning petrol, CNG, hybrid, and electric options — is positioned to address a widening range of buyer profiles as India's auto market matures.
Broader National Ambition
Takeuchi framed the company's next volume milestone in terms beyond commercial targets. 'Through manufacturing, exports, technology development, employment generation, skill creation and sustainable mobility, Maruti Suzuki remains committed to supporting India's aspirations,' he said. The remarks come as India's automobile sector positions itself as a contributor to the country's goal of becoming a developed nation by 2047. With domestic demand recovering and exports at record levels, the industry's trajectory appears aligned with that broader ambition — though execution on capacity and product mix will be critical.
Point of View
GST-driven cost inflation, and a consumer shift toward SUVs. A 'significant' revival would require either a meaningful price correction at the entry level or a new wave of first-time buyers, neither of which is guaranteed. Maruti's own SUV push, while commercially rational, could cannibalise the very small car volumes the chairman is counting on. The record exports figure is the more unambiguous bright spot — and arguably the more durable growth lever if global demand holds.
NationPress
9 Aug 2026
Frequently Asked Questions
What is the projected size of the Indian car market by FY31?
The Indian passenger car market is projected to reach 6.1 to 6.3 million units by FY2030-31, according to RC Bhargava, Chairman of Maruti Suzuki India. Bhargava said the small car segment is expected to grow significantly faster than it did over the previous five years.
What were Maruti Suzuki's sales figures for FY 2025-26?
Maruti Suzuki posted its highest-ever annual sales of 24.22 lakh vehicles in FY 2025-26, along with record exports of 4.47 lakh vehicles. The company crossed the 2 million annual sales mark for the third consecutive year.
How much capacity has Maruti Suzuki added?
Maruti Suzuki added 500,000 units of manufacturing capacity during FY2026-27, according to MD and CEO Hisashi Takeuchi. The company accelerated its capacity expansion plans to support its next growth phase.
How many new SUVs is Maruti Suzuki planning to launch?
Maruti Suzuki plans to introduce 7 new SUVs over the next 5 to 6 years to strengthen its SUV portfolio. The move responds to rapidly evolving customer expectations in India's auto market.
What role did GST reforms play in the auto sector's outlook?
RC Bhargava credited GST reforms with providing new impetus to the automobile industry and several other sectors of the economy. He cited this as a factor supporting optimism about the car market's growth trajectory through FY31.
