Maruti to spend INR 1,760 Cr this year on new product development
Posted on: May 25, 2016 - 8:00am IST
Some projects deferred to the next year.
Maruti-Suzuki, in a conference call to its investors, said that it will spend 40 percent of its proposed INR 4,400 crore capex this financial year on new product development. Part of the investment will go towards the new, Rs 2,000-crore R&D and testing centre at Rohtak in Haryana. For reference, the capex in 2014-15 was INR 2,400 crore.
While nearly INR 1,760 crore is earmarked by the company for new product development, Maruti also said that some of its projects were deferred to the next year.
Maruti confirmed at the Auto Expo this year that it will launch the Maruti Ignis and the Maruti Baleno RS during the festive season period this year. The Ignis will be an all-new product from the carmaker, and one of 15 all-new products planned until 2020. Parent Suzuki however has planned 20 all-new products until 2020.
The Baleno RS will be a variant extension to the popular Baleno premium hatchback. It will be powered by a 1.0-liter three-cylinder turbocharged Boosterjet engine, which on the U.K.-spec variant develops 111 PS and 160/170 Nm of torque depending on the gearbox.
Aside from these offerings, Maruti will also introduce facelifts and model year updates for its other products. It also plans on ramping up production of the Maruti Vitara Brezza and Maruti Baleno.