NEW DELHI—The initial capacity of Maruti Suzuki India Ltd.’s proposed manufacturing plant in India’s Gujarat state could be as much as 500,000 cars a year, double what the company originally envisioned, a senior state government official said.
The expansion plan was discussed when Gujarat Chief Minister Narendra Modi met top executives of Suzuki Motor Corp., Maruti’s parent, in Japan last month, said the state official, who declined to be named. No agreement has been completed, the official said.
Suzuki Motor Chairman Osamu Suzuki, on a weeklong visit to India since Thursday, traveled to Gujarat on Friday to meet Mr. Modi. He is also expected to have visited the site of the new plant at Mehsana—about 100 kilometers (62 miles) from the state’s main city of Ahmedabad.
A spokesman for Maruti declined to comment when asked whether the company would expand the initial capacity of the Gujarat plant. He described Friday’s meeting as a courtesy call by Mr. Suzuki. India is vital for Suzuki as Maruti contributes about a third of the parent company’s pretax profit and accounts for 46% of its overall production outside Japan.
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