Maruti Suzuki plans phased localisation of EV components to boost buyer confidence

By Axel Miller | 15 Dec 2025

Maruti Suzuki plans phased localisation of EV components to boost buyer confidence
The production-spec Maruti Suzuki e-VITARA, showcased recently at the Bharat Mobility Expo, is set for a commercial launch in January 2026. The automaker plans to localize battery production to drive down costs. (Image: AI Generated)
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Maruti Suzuki India is preparing to localise battery production and other key electric vehicle (EV) components over the next few years, a move aimed at strengthening India’s still-evolving EV ecosystem and reducing dependence on imports. The strategy comes as the country’s largest carmaker readies the commercial launch of its first electric model, the e-VITARA, in the domestic market in January 2026.

Company executives say localisation will be rolled out in stages, aligning with broader efforts to build consumer trust in electric mobility. At present, batteries for Maruti Suzuki’s EVs are imported, but the company sees local sourcing as essential to improving cost competitiveness, supply chain resilience, and long-term scalability.

Senior Executive Officer (Marketing & Sales) Partho Banerjee said EV adoption in India hinges on whether customers feel confident enough to buy an electric car as their primary household vehicle. Early experiences with EVs, particularly around driving range, have left many buyers cautious. As a result, most EVs sold today are used as secondary vehicles rather than replacing conventional internal combustion engine (ICE) cars.

Infrastructure gaps remain a major hurdle. Limited public charging options make first-time buyers hesitant, especially those who rely on a single vehicle for daily mobility. Until these concerns are addressed, Banerjee noted, many customers will continue to prefer ICE or alternative powertrain options for their main car.

Looking ahead, Maruti Suzuki plans to have five electric models in its portfolio by FY30. By that time, overall industry volumes are expected to reach 5.5–6 million units, with EV penetration projected at 13–15 per cent. However, the company is actively reassessing these volume estimates following the implementation of ‘GST 2.0’ in September 2025. The revised tax regime significantly lowered duties on traditional petrol and diesel vehicles, effectively narrowing the price gap between ICE cars and EVs. Executives expect a clearer picture of how this policy shift impacts long-term EV adoption to emerge by the next financial year.

Banerjee identified driving range anxiety, inadequate charging infrastructure, after-sales support, and uncertain resale value as the biggest challenges facing EV adoption in India. Addressing these issues, he said, is critical to building a sustainable market rather than pushing volumes prematurely.

To support its EV push, Maruti Suzuki plans to operate around 1,500 EV-enabled workshops across 1,100 cities and has already installed about 2,000 charging points nationwide. The company also plans to introduce assured buyback and subscription schemes to ease resale concerns and lower the perceived risk for buyers.

While acknowledging that the EV ecosystem is developing more slowly than the traditional ICE market, Banerjee stressed that product quality, reliable after-sales service, and a robust support network must come first. Confidence, he said, will follow.

Maruti Suzuki has already begun exporting the e-VITARA, shipping over 10,000 units to 26 international markets. Over the long term, the company aims to offer multiple electric models across body styles and significantly expand charging infrastructure. In partnership with dealers and charging point operators, it plans to set up nearly 1 lakh charging stations across India by 2030 as it targets leadership in the EV segment.

FAQs

Q1: Why is Maruti Suzuki focusing on localising EV components? 

Localising EV components, especially batteries, helps reduce costs, lower import dependence, and strengthen supply chain reliability. It also supports India’s broader goal of building a self-sustaining EV ecosystem and makes electric vehicles more competitive for mass-market buyers.

Q2: Which EV components will Maruti Suzuki localise first? 

While batteries are currently imported, Maruti Suzuki has indicated that battery production and other critical EV components will be localised in a phased manner over the next few years. Specific timelines and components will depend on ecosystem readiness and scale.

Q3: When will Maruti Suzuki launch its first electric vehicle in India? 

Maruti Suzuki plans to commercially launch its first EV, the e-VITARA, in the Indian market in January 2026, marking its formal entry into the domestic electric passenger vehicle segment.

Q4: What are the biggest challenges slowing EV adoption in India? 

Key challenges include limited driving range confidence, inadequate public charging infrastructure, concerns over after-sales service, and uncertainty around resale value. These factors make many consumers hesitant to adopt EVs as their primary vehicle.

Q5: Why are most EVs in India used as secondary vehicles? 

Due to charging infrastructure gaps and range anxiety, many buyers prefer to keep EVs for short, city-based usage while relying on ICE vehicles for longer or more flexible travel needs.

Q6: How many EV models does Maruti Suzuki plan to introduce by FY30? 

Maruti Suzuki aims to have five electric models in its portfolio by FY30, spanning multiple body styles to address different customer segments.

Q7: What is Maruti Suzuki doing to improve EV after-sales support? 

The company plans to set up around 1,500 EV-enabled workshops across 1,100 cities in India, ensuring trained technicians and specialised service support for EV customers.

Q8: How is Maruti Suzuki addressing concerns around EV resale value? 

To improve buyer confidence, the automaker plans to introduce assured buyback and subscription schemes, helping reduce uncertainty around long-term ownership and depreciation.

Q9: How extensive is Maruti Suzuki’s charging infrastructure plan? 

Maruti Suzuki has already installed around 2,000 charging points and plans to scale this significantly. By 2030, it aims to set up nearly 1 lakh charging stations in partnership with dealers and charging point operators.

Q10: Has Maruti Suzuki started exporting its electric vehicles? 

Yes, Maruti Suzuki has begun exporting the e-VITARA, with over 10,000 units shipped to 26 international markets, highlighting its global EV ambitions.

Q11: How could GST changes impact EV adoption in India? 

Recent GST-related changes (GST 2.0) have reduced taxes on ICE vehicles, potentially slowing EV penetration by making traditional cars more price-competitive. Maruti Suzuki expects to reassess market dynamics in the next financial year once the impact becomes clearer.

Q12: What does Maruti Suzuki’s EV strategy mean for the Indian auto industry? 

As India’s largest carmaker, Maruti Suzuki’s push toward localisation, infrastructure development, and ecosystem-building could accelerate EV adoption, encourage supplier investments, and influence industry-wide standards for affordable electric mobility.

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