GST 2.0 Reforms Are the Reason for India’s Economic Resilience: Maruti Chairman RC Bhargava

Leading carmaker Maruti Suzuki India has earmarked a capital expenditure of ₹77,500 crore for the next five years, spanning from 2026-27 to 2030-31. The funds will be utilised for capacity expansion, introduction of new models, research and development, and other growth initiatives. Managing Director and CEO Hisashi Takeuchi announced the plan during the company’s annual general meeting. He also confirmed that all Maruti cars manufactured since 2008 are fully compatible with E20 fuel, which contains 20 per cent ethanol blended with petrol. The company has revised its capex allocation for 2026-27 upwards from ₹10,000 crore to ₹14,000 crore, taking the overall five-year outlay higher than the ₹70,000 crore announced last year.

Chairman RC Bhargava underlined the critical role of GST 2.0 reforms in sustaining India’s economic resilience amid global uncertainties, including the impact of the West Asia conflict. He stated that without these reforms, the automobile sector and several other industries in the country would not have performed as strongly. Bhargava projected that the Indian passenger vehicle industry could touch 63 lakh units by 2031, with the small car segment expected to expand its market share at a rapid pace.