During the 44th Annual General Meeting (AGM) of Maruti Suzuki India, Chairman R.C. Bhargava declared that India must firmly counter American pressure, including potential 50% tariffs. He emphasized the need for national unity in supporting the government and resisting any form of bullying. Bhargava highlighted the potential impact of such decisions on Indian exports and labor-intensive sectors like ready-made garments, diamonds, footwear, leather, and gems-and-jewelry, which could also endanger employment. He asserted the importance of supporting the government and maintaining dignity, refusing to succumb to any pressure. Bhargava also discussed the need for GST reforms, suggesting a reduction in GST rates for small cars to 18% to boost the industry and create job opportunities. He pointed out that the current 28% GST on cars, the highest slab, significantly increases the tax burden on smaller vehicles, with SUVs facing nearly 50% tax, while electric vehicles attract only 5% GST. He believes that such a change could revitalize the small car market and expressed satisfaction that the government recognizes and considers providing relief to lower-income consumers. Furthermore, he advocated for the adoption of a ‘Kei car’ model similar to Japan’s, referencing the millions of Indians dependent on two-wheelers and the need for small, affordable, and safer options. He cited Japan’s ‘Kei car’ initiative from the 1950s as an example, where cars are smaller, taxed less, and have simpler safety regulations. He suggested that India should introduce similar cars to offer better alternatives to scooter and motorcycle users. Bhargava also stated that India should focus on hybrid technology alongside electric vehicles, as both EV and hybrid technologies are progressing in countries like the United States and Europe.
