Maruti Suzuki plans to invest Rs 10,000 crore in capital goods in FY 2024–2025

“In FY 23-24, our capex stood at around Rs 6,800 crore, majority of which was towards the Kharkhoda plant (in Haryana) and the rest being on new product development and other maintenance activities. For FY 24-25, the planned capex is approximately Rs 10,000 crore,” Rahul Bharti, Head -Corporate Affairs and Chief Investor Relations officer mentioned in conversation with Moneycontrol.

In a related move, the automaker has reiterated its previous plans to invest approximately Rs 1.25 lakh crore till 2030–31 in order to increase its overall manufacturing capacity to 4 million vehicles annually and broaden its product range to 28 models.

To build a capacity of two million units, they would be allocating roughly Rs 45,000 crore of the Rs 1.25 lakh crore set aside. It’s noteworthy that this computation accounts for a tiny amount of cost escalation in addition to present costs.

“Funds would be needed for creating the sales, service and spare parts infrastructure to almost double domestic sale volumes. The infrastructure for exporting the much larger volume of cars will also have to be strengthened. The conversion of production lines to have greater flexibility will need additional capex,” it mentioned during a presentation in October previous year.

“Capex will be needed to develop 10-11 new models, with different fuel options in this period. Production of EVs and SUVs will also need larger capex,” further added.