India’s bestselling car models, the Maruti 800 and the Alto are set to be replaced by a more fuel efficient car model that is being developed by the company. The new car is expected to be launched by the year 2014, says Mr. Shinzo Nakanishi, MD Maruti Suzuki. He added that the two car models have been selling for a long time and need to be revamped and attuned to the changing requirements of the present automobile scenario. Mr. Nakanishi stated that the AltoK10 would not be discontinued and possibly the Maruti 800 may also stay in the market depending upon the demand for the car in the future.
The new car model would be powered by an 800cc engine and it would cost around Rs. 550 crore for Maruti Suzuki to change the car models. The two cars to be replaced became the preferred brand in the Indian auto market owing to their affordable pricing. However, with new and tougher competition in the market and the changing buyer trends, the company feels the need to bring in a new model.
Moreover, the new car in addition to being targeted at the domestic market would also be positioned for overseas markets such as Latin America, North Africa and Asian countries. Currently, the AStar compact car continues to be the primary export for the Maruti Suzuki in the European region.