GST reform to drive car market revival in second half of the year: Maruti Suzuki MD

India's automobile sector could witness a strong revival in the second half of the year, driven by the government’s push through GST reforms, according to Hisashi Takeuchi, MD & CEO of Maruti Suzuki India (MSIL).

Speaking to Business Today TV, Takeuchi said the government’s GST reform has created a positive outlook for the automobile market, and he expects a strong revival and growth in the second half of the year.

“Thanks to the strong push by the government with the GST reform, the market outlook is quite positive towards H2. I believe the market will show a strong revival and growth,” Takeuchi said.

On Maruti’s product portfolio, the MD clarified that the company already has a mid-size SUV in Nexa and does not see any cannibalisation with the Grand Vitara. He pointed out that the mid-SUV segment remains one of the most competitive in India, with over 20 rival models, making it critical for MSIL to strengthen its position.

Takeuchi further outlined Maruti’s ambitions in the segment, stating that the company is currently lagging behind but aims to emerge as the market leader. Expanding both Arena and Nexa touchpoints will be key to this strategy, he added.

The mid-size SUV category has been one of the fastest-growing areas of the passenger vehicle market, attracting strong competition from both domestic and global automakers.