Carmakers Push Back Against Emission Concession Seen Favouring One Manufacturer
India’s leading automakers — Tata Motors, Hyundai, Mahindra & Mahindra, and JSW MG Motor — have urged the government to reconsider a proposed weight-based emission concession for small petrol cars. They argue the relaxation, meant for vehicles under 909 kg, under four metres, and with engines below 1200 cc, would disproportionately benefit a single manufacturer. While letters sent to ministries did not name the beneficiary, industry executives pointed to Maruti Suzuki as the primary gainer, given its dominance in the small-car segment.
The draft rule aims to ease emission requirements for very small cars, citing their limited scope for efficiency improvements. However, the proposal has created a divide between EV-focused companies and Maruti Suzuki, slowing the finalisation of updated fuel-efficiency norms. Executives from multiple firms have questioned the 909 kg benchmark as arbitrary and not aligned with global standards, arguing that over 95% of cars meeting this criteria belong to one brand. Companies warned that such selective concessions could undermine industry stability and India’s global perception at a time when markets are moving toward stricter emission norms.
Hyundai, Mahindra, and JSW MG Motor emphasised that any special category based on size or weight could distort competition and hinder the transition to cleaner, safer mobility. Under current Corporate Average Fuel Efficiency norms, tightening CO₂ limits to 91.7 g/km would make compliance harder for small cars, pushing manufacturers toward more EV sales. Maruti defended the proposed safeguard, saying smaller cars inherently consume less fuel and emit lower CO₂, although the segment now forms only 16% of its sales as buyers increasingly shift to larger SUVs.
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