The market for electric vehicles is gradually expanding, and it is a must for countries with large populations, and many electric cars can already be seen mushrooming in China. Now that we're looking to India, the world's second most populous country, Suzuki, a major automaker from Japan, sees the future opportunities in this market and invests $1.37 billion to buy an electric vehicle manufacturing plant.
And announced that their subsidiary in India will start a new electric vehicle production plan, and this is only a small part of their investment in the Indian market, because they are expected to invest more than $42 billion here, which is the huge demographic dividend of India.
The largest EV maker in the Indian market today is Tata Motors, which has a whopping 70% market share, and they only offer two electric vehicles, the Tiger EV and the Nexon EV. And according to Tata Motors' estimates, by 2026, 25% of sales in the Indian market will be pure electric vehicles.
So everyone is trying to find their own position in this market, suzuki currently has a joint venture in India, Maruti Suzuki, but the brand does not have any electric vehicle products. It is understood that they had planned to launch an electric version of the Wagon R metropolis model last year, but because the infrastructure of the market is still quite scarce, they abandoned the development plan of this product.
But now the Indian government has also shown that they will shed their dependence on gasoline in the future and reduce pollution in their major cities. Therefore, the development of electric vehicles is bound to be an important step, and now the electric vehicle manufacturing companies they buy will increase the production capacity of pure electric vehicles by 2025. This will be followed by a $1 billion investment in the construction of a battery factory, and tens of billions of dollars will be invested in the future to demonstrate their active investment in the Indian market. Toshihiro Suzuki, the current president of Suzuki, also said: "Suzuki's mission in the future is to achieve carbon neutrality through small cars", which means that they will launch more similar metropolitan models around the world, and the Indian market will do the same.