Small cars still in demand, India not just an SUV market, says Maruti Suzuki chairman R C Bhargava

Maruti Suzuki chairman R C Bhargava has said that although SUVs are growing more popular in India, demand for small cars has not ended. In his view, it would not be right to look at the Indian car market only through the lens of SUVs. For a large section of customers in the country, small, affordable cars that are convenient for everyday use remain important. It would therefore be wrong to assume that the future of small cars is over.

On the numbers, Maruti Suzuki's small car sales rose 35.9% year on year between July and September 2026. In the first half, the company sold nearly 3.98 lakh small cars. GST reforms gave a push to demand. According to Bhargava, small cars will continue to have a big opportunity in the Indian car market in 2047 as well.

Every family's budget, travel needs and parking space are not the same. Given city traffic, narrow roads and parking problems, small cars suit many people. First-time car buyers, young people, small families and customers looking for their own vehicle for daily commuting find such cars useful. That is why, even as SUV sales grow, small cars retain their place in the market.

The reasons for the appeal of SUVs are also cited. A high driving position, a larger cabin, a distinct experience on the road and modern features have made SUVs the choice of many. Companies have also focused more on models in this segment, so many customers consider an SUV when buying a new car. But not everyone can afford a big car. Purchase price, maintenance costs and fuel costs matter when making the decision.

Maruti Suzuki has built a large customer base in India on the strength of small and affordable cars. Models such as the Alto K10, S-Presso, Celerio and WagonR are useful for city travel. To sustain demand for these cars, companies need to balance price control, fuel savings, safety and modern features. Offering options such as petrol and CNG according to customers' needs also helps.

India's car market is not limited to one type of vehicle. Some customers want a large SUV, while others want a small car that costs less to run. Companies therefore need to improve the technology, safety and conveniences in small cars rather than focus only on SUVs. Bhargava's statement conveys that small cars remain important. In the coming period too, different types of cars may continue to find opportunities according to customers' budgets and needs.