The Indian automotive industry celebrates a significant achievement as Maruti Suzuki ascends to become the eighth most valuable car manufacturer worldwide. A recent ETIG report indicates that the company’s market capitalization has reached approximately $57.6 billion. This success places Maruti Suzuki ahead of not only its parent company, Suzuki, but also prominent global automotive brands such as Ford, General Motors, and Volkswagen.
The recent implementation of GST 2.0, announced during India’s Independence Day by Prime Minister Narendra Modi, has positively impacted Maruti Suzuki’s performance. The new GST measures, which came into effect on September 22, have particularly benefited the sales of smaller car models. Since small and affordable cars account for a substantial share of Maruti’s sales, this policy change has significantly contributed to the company’s growth.
Maruti Suzuki’s stock has experienced substantial growth, increasing by 25.5% since August. The share price, which was at ₹12,936 on August 14, rose to ₹16,318 by September 25. This performance outpaced the Nifty Auto Index, which saw an 11% increase over the same period. Foreign Portfolio Investors have increased their investments in the Indian auto sector, with Maruti Suzuki being a preferred choice.
Maruti Suzuki’s valuation now surpasses Ford, General Motors, and Volkswagen. Its value has also doubled that of its parent company, Suzuki. Despite this impressive achievement, Tesla leads globally in market capitalization, followed by Toyota, BYD, Ferrari, BMW, and Mercedes-Benz.
In addition to its export success, Maruti Suzuki maintains a strong presence in the domestic passenger car market. The company’s compact and entry-level vehicles drive a significant portion of its overall sales. Following the GST implementation, Maruti Suzuki has been receiving approximately 15,000 bookings each day. The company also delivered 30,000 cars on the first day of Navratri, reflecting the company’s popularity and customer demand.