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Old 30th August 2019, 12:19   #16
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Re: Hyundai Venue : Official Preview. EDIT: Launched @ 6.5 lakhs

Quote:
Originally Posted by ramzsys View Post
''Maruti Suzuki is still assessing the 10-year lifecycle costs of the 1.5-litre diesel engine, and complicating matters are two hurdles that’ll drive the 1.5 diesel’s costs further up – meeting the upcoming BS-VI norms, and the super-stringent Real Driving Emissions (RDE) regulation that is expected to come into effect by 2023''
I think this seems to be the biggest concern that Maruti might be facing.

Other OEMs, (except Honda ??) had developed their Diesels for Euro 6 that came into force in 2014. US and Korea also follow similar emission norms. (not mentioning Japan as diesel percentage in passenger cars is comparatively small). So, the OEMs which had/have diesel engines in overseas markets, have more time and volumes to ammortize the design & development cost.

Whereas, Maruti never planned diesels for Euro 6 markets, so now all the BS VI upgrade costs have to ammortized over Indian volumes (that too 1.5LD version only). This makes cost impact per engine (vehicle) high, putting Maruti in a soup.
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