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Maruti considering vehicle imports

India's largest car maker Maruti Udyog Ltd is considering importing new luxury vehicles made by its parent, Japan's Suzuki Motor Corp, following the easing of trade restrictions earlier this month.

"We are looking at completely built units imports of new models for the domestic market," the Press Trust of India quoted Maruti Udyog managing director Jagdish Khattar as saying.

India lifted quantitative import restrictions on over 700 items including passenger cars on April 1.

Companies are now free to import and sell cars after paying an effective duty of 85.33 per cent on new vehicles.

"The Grand Vitara is a possibility as also other vehicles," the news agency quoted Khattar as saying.

Maruti would import vehicles as completely built units and later switch to importing completely knocked down kits for local assembly when sales volumes increased, PTI said.

The company is currently studying cost structures and other conditions and will take a decision after its completion.

Maruti, in which the Indian government and Japan's Suzuki Motor Corp each hold 50 per cent equity, had an Indian market share of 58 per cent in the first 11 months of 2000-01.

It has dominated India's car market for over 15 years with its reasonably priced, fuel-efficient cars.

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