India’s automotive market is experiencing a significant shift towards cleaner fuels, with Compressed Natural Gas (CNG) leading the charge. From Maruti Suzuki’s dominance to Hyundai’s strategic placement and Tata’s premiumization approach, here’s how major auto brands are embracing CNG in India.
Maruti Suzuki: Pioneers of CNG Adoption
Maruti Suzuki, India’s largest car manufacturer, continues to be at the forefront of the CNG movement. In the first half of 2023 alone, the auto giant sold an impressive 1.15 lakh CNG vehicles, signaling its firm grasp on the market. CNG options are available across 15 of Maruti’s models, from the economical Alto to the luxurious Grand Vitara.
This broad CNG presence underscores Maruti’s commitment to eco-friendly solutions, especially after discontinuing diesel variants. The latest addition to its CNG fleet is the Fronx, underlining Maruti’s dedication to cost-conscious consumers who prioritize fuel efficiency. The company, however, restricts CNG options to entry and mid-level variants, reserving premium models for petrol.
Hyundai: CNG for Entry-Level Vehicles
Hyundai, the second largest player in the Indian automotive market, adopts a distinct strategy, confining CNG options to its entry-level models. The Korean carmaker reported sales of 22,625 CNG vehicles and has earmarked CNG for models like the Nios, Aura, and the newly launched Exter.
A considerable percentage of these models’ sales are attributed to CNG variants, confirming the fuel’s popularity among entry-level customers. However, Hyundai has ruled out CNG for higher-end models, asserting that these customers may not be willing to compromise on power, torque, or initial traction.
Tata Motors: Premiumising CNG
In contrast to Hyundai and Maruti, Tata Motors, India’s third-largest auto company, is charting a unique path by offering CNG variants across all levels, including premium models. This decision is a direct response to customer demand for high-end features in CNG vehicles.
Tata’s innovative approach is evident in models like the Altroz iCNG, which features a patented twin-cylinder layout for a larger boot space, and the upcoming Punch CNG. Tata is also exploring CNG alternatives for diesel segments where diesel is exiting due to stringent emission standards.
Toyota: The New Entrant
Toyota, the fourth leading automaker, joined the CNG bandwagon in 2022. The company’s CNG strategy is backed by its Maruti-based models, Glanza CNG and Urban Cruiser Hyryder CNG. Toyota’s entry into the CNG arena might be recent, but its focus remains on entry and mid-level variants, similar to Maruti.
Our Take
In conclusion, while Maruti leads the CNG revolution in India, Hyundai adopts a selective approach, Tata pushes for premium CNG offerings, and Toyota takes cautious initial steps. Regardless of their strategies, these auto giants’ adoption of CNG represents a significant milestone in India’s transition towards cleaner, greener mobility. With increasing market acceptance, the CNG landscape in India is set for an exciting future.
