Hoping that 25 million two-wheeler buyers of last 5 would upgrade to cars, Indias largest car manufacturer, Maruti Udyog Ltd, it all set to cater to them and roll out diesel cars by 2006 end.
Suzuki Motor Corp is known for petrol engine technology and does not manufacture diesel engines. It has now obtained diesel engine technology largely to meet the requisites of Indian customers, since the diesel car market has been growing in India in recent years.
Maruti, which currently manufactures 6 lakh cars in a year, has reported a 19.7 % growth in sales in 2004-05 while profit jumped 57.5 %. Fresh investments to upgrade the existing facilities are also part of the investment plan.