Maruti Suzuki: 4 reasons why Maruti Suzuki thinks small BS6 diesel engine not viable

NEW DELHI: The nation’s largest carmaker Maruti Suzuki India (MSI) sees no logic in creating a BS6 diesel engine for small automobiles.
Earlier in 2019, Maruti Suzuki phased out the diesel engine and began to improve its portfolio with a BS6-complaint, Ok-Series engine. The auto main, with no diesel autos in its line-up, now goals to develop its CNG product vary to herald further volumes.
Last, of the lot, S-Cross in BS6 avatar will likely be launched on July 29. In an unique interview to TOI, govt director gross sales and advertising and marketing Shashank Srivastava defined why small-displacement Diesel engines are not possible. Here are 4 reasons:
1. There is completely no logic in creating a small diesel engine. It is lower than 5% within the hatchback section and has lowered significantly in sedans and entry-level SUV section as now economics does not assist it.
2. Reduction within the value hole between petrol and diesel fuels, enhance in the price of diesel automobiles with the approaching of BS6 emission norms have been a few of the main elements liable for the decline in diesel automotive gross sales. The price differential between petrol and diesel automobiles which was once within the vary of Rs 70,000-90,000 earlier has now gone as much as Rs 1.5 lakh to Rs 2 lakh.
3. The economics of operating a car on diesel, which was so beneficial earlier, has now disappeared. Therefore there isn’t a financial logic for purchasing a diesel automotive and that’s mirrored within the share share of diesel automobiles available in the market. From 60 per cent just a few years again it has come right down to 20 per cent.
4. In small automobiles, the share of diesel automobiles is now lower than 5 per cent. The solely section the place the proportion of diesel automobiles is above 50 per cent is the higher SUV section the place consumers are not bothered by the financial viability.
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