Maruti Suzuki has become the eighth most valuable automotive company worldwide, marking a significant achievement for the Indian auto sector. The company’s market capitalization has reached around $57.6 billion, according to recent reports. This growth has allowed Maruti Suzuki to surpass not only its parent company, Suzuki, but also established global competitors like Ford, General Motors, and Volkswagen.
The introduction of GST 2.0, announced by Prime Minister Modi, has provided a boost to Maruti Suzuki’s performance. The new GST measures, implemented on September 22nd, have specifically increased the sales of smaller vehicles. As a large portion of Maruti’s sales come from affordable cars, these changes have been pivotal for the company’s growth.
Maruti Suzuki’s stock has shown a remarkable increase of 25.5% since August. The share price rose from ₹12,936 on August 14th to ₹16,318 by September 25th. This performance outshone the Nifty Auto Index. Foreign Portfolio Investors (FPIs) have also increased their investments in the Indian auto sector, with Maruti Suzuki as their top choice.
Maruti Suzuki’s valuation is now higher than Ford, General Motors, and Volkswagen. The company’s value has also doubled that of its parent company, Suzuki. Globally, Tesla has the highest market capitalization, followed by Toyota, BYD, Ferrari, BMW, and Mercedes-Benz.
Maruti Suzuki’s strength extends beyond exports, holding a strong position in the domestic passenger car market. Its compact and entry-level cars contribute significantly to its total sales. The company reports receiving 15,000 bookings daily since the GST implementation. On the first day of Navratri, the company delivered 30,000 cars, demonstrating its strong market presence.
