Maruti Suzuki India Ltd is cutting back on production to manage high dealer inventories after weaker-than-expected demand in the first quarter of 2024-25.
Despite a 7.4% rise in production, sales only grew by 1.2%, leaving 730,000 unsold vehicles across dealerships, according to FADA. The company anticipates a critical period during the upcoming festival season and is closely monitoring demand. Retail sales showed some improvement in July, but Maruti's inventory level stands at 38 days, considered ideal for the upcoming festive sales period.