Revving Forward: Maruti Suzuki's Strategic Outlook Amid GST and Global Trade Dynamics

Maruti Suzuki India will reevaluate demand post-GST cut to find sustainable growth levels. The India-EU FTA offers export potential, benefiting the company's EV market. Despite supply constraints and a booming SUV segment, Maruti eyes a 7% growth target while leveraging trade liberalization opportunities.

Maruti Suzuki India is set to reassess its market demand in the upcoming months following the initial surge courtesy of GST rate cuts. The company anticipates understanding its sustainable demand levels once the early excitement diminishes, according to Senior Executive Officer Rahul Bharti.

Bharti highlighted the potential benefits the India-EU Free Trade Agreement holds for Maruti Suzuki's European electric vehicle exports. While supply constraints pose a short-term challenge, the company maintains a healthy order book and experiences growth within the SUV segment.

With the country's car market witnessing recovery, especially within the small car segment, Maruti projects a 7% sustainable volume growth amid changing market dynamics and global trade liberalization benefits.

(With inputs from agencies.)