Maruti Suzuki India on Monday cautioned that small cars may have to be phased out if the government’s proposed norms on reducing fuel consumption and carbon emissions become “unscientific and unjust,” amid escalating tensions within the automobile industry over the upcoming Corporate Average Fuel Efficiency (CAFE) regulations.

Rahul Bharti, executive director, corporate affairs at Maruti Suzuki, pushed back against criticism from Tata Motors, Mahindra & Mahindra, JSW MG Motor, and Hyundai, which have termed the proposed weight-based emission relaxations “arbitrary”. Bharti dismissed the criticism, saying the opposing companies were circulating “incorrect facts and narratives irresponsibly pushed by makers of gas guzzlers”.

What did Rahul Bharti say?

“I wish they took a national view rather than the view of their company,” he said during an online press briefing to announce the company’s monthly sales numbers. The CAFE (corporate average fuel efficiency) framework sets average carbon-dioxide (CO2) emission targets that each automaker’s fleet must meet, measured in grams per kilometre (g/km). If a company fails to meet its target, the Bureau of Energy Efficiency (BEE) can impose stiff penalties.

Automakers request govt to withdraw a proposed 3 g/km emission concession

Bharti said the 3 g/km benefit for cars weighing less than 909 kg is, in fact, very small. A group of automakers — Tata Motors, Hyundai, Mahindra & Mahindra, and JSW MG Motor — has urged the government to withdraw a proposed 3 g/km emission concession.

They argue that the exemption benefits only one manufacturer and undermines the country’s electric vehicle (EV) goals.
The companies contend that the move would reverse the current electric vehicle (EV) momentum in the country and push carmakers toward prioritising” strong hybrid vehicles to meet emission targets.

Bharti, however, maintained that offering structured relaxations to small, affordable cars aligns with global regulatory norms.
He said that more than 90% of global automobile markets provide some form of relief to smaller vehicles. According to him, China offers relaxations at around 1,090 kg; Europe at 1,115 kg; Korea at 1,100 kg; Japan follows a parabolic system; and the US uses a 41-square-foot footprint standard.

“I wish they took a national view rather than the view of their company,” he reiterated. “One should be very careful and do one’s research before accusing the governments of all these countries as arbitrary,” Bharti added. Maruti Suzuki saw a 37% increase in sales of its small cars like Alto, S-Presso, Celerio, WagonR and K10 in November.

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