In one of the biggest announcements of the Indian auto industry, Maruti Suzuki has announced that it will discontinue and phase out all diesel models by April 2020 when BS VI emission norms come into place.
Maruti’s diesel engines will not be ready to meet the stringent norms and that is the reason for this decision. Currently there are two diesel engines in the Maruti portfolio; the 1.3 litre engine sourced from Fiat and the all new 1.5 litre diesel engine developed in house that recently made its debut in the Ciaz sedan.
However, the 1.5 litre diesel could make a comeback in the future if there is demand. Maruti Suzuki has invested more than Rs. 1000 crore in the development of their new diesel engine. Currently, 23% of Maruti’s total sales come from diesel models and there is sure to be an impact once the diesels are phased out.
Maruti Suzuki Chairman R C Bhargava said, “In small cars, the cost of upgrading diesel engines to BS VI standards will be substantial. With the price increase, these vehicles will become unviable for use by customers. We will completely stop selling diesel vehicles from April next year.”
“The only segment where we may look at having a BS VI complaint Diesel engine is the 1500 cc. Nothing below that. If there is demand, we will develop a 1500 cc diesel vehicle within a reasonable period of time”, Bhargava added.
Maruti is said to be working on CNG and hybrid technology going forward.