Maruti to invest USD652 mil. in short-term R&D; claims progress with shareholders on Gujarat plant investment plans

The Indian government is to bring in frontal crash protection regulations starting in 2015, which will give Maruti and other automakers six months to comply.

Maruti Suzuki India Limited (MSIL) will invest up to INR40 billion (USD652 million) in the next two to three years in product development, research and development, and marketing infrastructure, according to Maruti executive director (engineering) CV Raman, speaking at the launch of the company's new version of the Alto K10 hatchback. When questioned about the recent crash-test failure of the Swift, Raman said the car met all standards set by the Indian government. He added that Maruti would increase production of auto-gear-shift models to meet market demand. Separately, Maruti has reportedly persuaded some of its institutional investors to back the decision by its parent firm, Japan's Suzuki Motor Corporation, to invest directly in the upcoming Gujarat car manufacturing plant.