Maruti to phase out all diesel cars from April next year
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Maruti Suzuki garners nearly 23% of its annual sales from diesel cars
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The carmaker also today announced a hike in prices of some of its models
Maruti Suzuki, the country’s largest vehicle manufacturer, today announced that it will stop manufacturing diesel vehicles from April 1, 2020 when the new BS 6 emission norms will be introduced. The high cost of upgrading existing diesel engines to the BS 6 norms propelled the company to take such a decision.
The company will try to focus on compressed natural gas (CNG) and hybrid technology driven vehicles to compensate the vacuum created by the phasing-out of diesel vehicles.
Mint was the first to report on Feb 14, 2019 that Maruti was in talks with its parent company Suzuki Motor Corporation for discontinuation of diesel vehicles from 2020.
According to R C Bhargava, chairman, Maruti Suzuki India Ltd, from April next year the company will stop manufacturing diesel vehicles since substantially higher development cost will not make diesel a viable option for consumers.
“We have taken this decision so that in 2022 we are able to meet the Corporate Average Fuel Efficiency norms and higher share of CNG vehicles will help us comply with the norms. I hope the union government’s policies will help grow the market for CNG vehicles," added Bhargava.
Apart from that, the company reported a 4.6% year-on-year decline in net profit to ₹1,795 crore for the quarter ending March 31, 2018 as a result of high commodity and forex costs and increased discounts offered by the company to attract buyers since vehicle sales remain subdued.
The total vehicle sales of the company increased by just 0.4% year-on-year to 4,28,863 units while the net sales or revenue dropped by 0.7% year on year to 20,737.5 crore. The operating margins contracted by 300 basis points due to increase in commodity cost and discounts.
In the full year FY 19, the New Delhi-based company reported 2.9% decease in net profit to ₹7,500.6 crore while the revenues grew by just 6.3% to ₹8,3026.5 crore.
According to Ajay Seth, Maruti's executive director, Finance, overall increased discounts offered to customers and commodity costs had an adverse impact on the financials of the company in FY 19 and the company will cut costs in different part of its operations to stabilise the operating margins in FY 2020.
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Save some knowledge for your future too: Shami hits back at Sanjay Manjrekar for IPL auction predict
New Delhi: Indian pacer Mohammed Shami responded sharply to former cricketer and commentator Sanjay Manjrekar's prediction regarding his price tag at the upcoming IPL 2025 mega auction. Manjrekar had suggested that Shami, who was released by Gujarat Titans ahead of the auction, may see a decline in his auction value due to his injury history.
The 34-year-old, who returned to competitive cricket last week after a year-long recovery from knee injuries, was the subject of analysis by Manjrekar, who raised concerns about the bowler's injury-prone nature.
“There will definitely be interest from teams, but given Shami’s injury history—and this recent one took a significant amount of time to recover—there’s always a concern about a potential breakdown during the season. If a franchise invests heavily and then loses him mid-season, their options become limited. This concern might lead to a drop in his price tag,” Manjrekar said on Star Sports.
In response, Shami took to Instagram on Thursday, addressing Manjrekar’s comments. "Baba ki jay hoooo. Thoda sa gyan apne future ke liye bhi bacha loo kaam aayega Sanjay G? Kisi ko future janna ho to sir se mile," Shami posted, which loosely translates to, "Hail Baba. Save some knowledge for your future too, it will be useful Sanjay ji. If anyone wants to know the future, they should meet sir."
Shami, acquired by Gujarat Titans for Rs 6.25 crore in the 2022, had a standout 2023 season, claiming 28 wickets in 17 matches at an average of 18.64 and winning the Purple Cap.
