Japanese car manufacturer Suzuki has declared an expenditure of Rs 500 crore (Rs 5 billion) to more than twice its manufacturing capacity in India, to 5.4 lakh units a year by 2012.
The company’s fully-owned associate Suzuki Motorcycles India Pvt Ltd (SMIPL) also introduced a new 125cc motorcycle costing Rs 43,945 (ex-showroom Delhi), as it plans to boost its position in the division.
Katsumi Takata, SMIPL Chairman said, “We are aggressively expanding our production capacity to 5,40,000 units from 2.5 lakh units by 2012”.
Till date, the company spent about Rs 450 crore (Rs 4.5 billion) in this year and Rs 50 crore (Rs 500 million) more will be invested in improving its capacity. Takata said, “The total investment will be around Rs 500 crore (Rs 5 billion)”.
Also the new motorcycle called Suzuki SlingShot is being placed to capture a consumer segment between the beginner level 100cc segment and premium segment of 150cc, the company said.