Maruti Suzuki CEO calls for deeper auto-component localisation to curb supply disruption risks

Maruti Suzuki India CEO Hisashi Takeuchi has urged deeper localisation across India’s automotive supply chain, citing global disruption risks. He highlighted stronger Tier-2 and Tier-3 supplier capabilities, quality improvement, technology-led risk mapping and policy support as key to manufacturing competitiveness and exports.

— Source publishedWed, 2 Sept, 2026, 11:34 IST·First seen Wed, 2 Sept, 2026, 11:42 IST·Source ET Small Business

What happened

Maruti Suzuki India · Maruti Suzuki CEO Hisashi Takeuchi urged deeper automotive supply-chain localisation to reduce disruption risks, improve supplier quality

Key facts

  • 66th ACMA Annual Session
  • GST 2.0
  • Tier-2 and Tier-3 suppliers
  • four focus areas

Why this matters

Automotive strategists should prioritize partnerships, acquisitions or supplier-development programs that build domestic capability in critical components and support export-ready manufacturing.

What to watch

  • Maruti Suzuki announcements of revised localisation percentages or supplier-capex commitments.
  • New government incentives or tariff changes covering auto electronics, semiconductors, EV components, tooling or specialty materials.
  • Joint ventures between Indian component manufacturers and Japanese, Korean, European or Chinese technology suppliers.
  • Supplier quality failures, recalls or production interruptions during localisation transitions.
  • Import data showing declining shares of critical auto-component categories.
  • Capacity additions in automotive electronics, battery packs, motors, castings, forgings and precision-machined components.
  • Increase multi-year local sourcing targets and vendor-development programs for critical parts.
  • Map lower-tier supplier dependencies, especially single-source imported electronics, specialty metals and tooling.
  • Push suppliers toward higher quality certifications, traceability systems and digital risk monitoring.
  • Seek policy support for component clusters, testing facilities, capital equipment and technology-transfer partnerships.
  • Diversify import sources for components that cannot be economically localised in the near term.