Maruti Suzuki Ciaz To Be Discontinued
Maruti Suzuki Ciaz To Be Discontinued

Maruti Suzuki Ciaz To Be Discontinued

01/03/2025
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Maruti Suzuki is to phase out its mid-size sedan, Ciaz, by April 2025, the end of an era for a car that was a favourite among Indian buyers. Manufacturing will end by March 2025, followed by sales in a few weeks. Though the maker has rejected this in statement form, multiple industry sources verify the decision.

Rise And Decline Of The Ciaz

Introduced in 2014 to replace the SX4, the Ciaz became popular in India shortly after its introduction, often leading its segment over competitors like the Honda City and Hyundai Verna. Its spacious interiors, fuel efficiency, and premium positioning under Maruti’s Nexa retail chain enabled it to gain popular acceptance.

But the Indian automobile market has changed dramatically over the last 10 years. Whereas in 2015, sedans represented 20% of the nation’s car market, by 2024, the share had fallen under 10%, with SUVs taking more than 50% of overall passenger car sales. This change in consumer demand has been one of the main reasons for the downward sales of the Ciaz.

Factors That Could Lead To This Decision

  1. SUV Market Shift: With the growing popularity of SUVs, the mid-size sedan market has shrunk. The number of models in the segment had decreased to five from nine in 2017 by December 2024. Maruti Suzuki’s market share in the segment fell to 11%, a far cry from 35-40% in 2017-18.
  2. Slumping Sales Numbers: The Ciaz saw a consistent fall in sales, with the monthly numbers falling to 659 units in October, 597 in November, and 464 in December 2024. The first nine months of the fiscal year 2024-25 saw total sales of 5,861 units, a 34% year-on-year fall, before the segment’s overall shrinkage.
  3. Discontinuation of Diesel Variant: In 2020, Maruti Suzuki took the strategic call to withdraw from the diesel segment, discontinuing its in-house 1.5 DDiS diesel engine for the Ciaz. This reduced the sedan to just a 1.5L petrol variant, when diesel variants were contributing 30% of its sales.
  4. Absence of Any Updates: The Ciaz has not undergone much since its last big facelift in 2018. The competition introduced features such as ADAS, sunroofs, digital instrument clusters, and turbocharged engines, but the Ciaz remained with its old naturally aspirated engine that slowly lagged behind others.
  5. Strategic Shift towards SUVs: In keeping with market trends, Maruti Suzuki also shifted strategically towards SUVs, with the introduction of models such as the Brezza, Grand Vitara, and Fronx. These models have fueled growth for the company, with SUVs now taking over showroom floors and marketing strategies, while Ciaz had no promotional support in the past few years.
  6. No Turbo-Petrol Powertrain: In a market where sedans are increasingly preferred due to their sporty driving dynamics, and every single competitor offers better performance while the Ciaz’s engine felt slow and tired.

The Road Ahead

With the discontinuation of the Ciaz, Maruti Suzuki will effectively exit the mid-size sedan segment, reflecting an industry-wide trend where SUVs are increasingly overshadowing sedans. Competitors like the Honda City and Hyundai Verna continue to compete in this space, their success hinges on offering modern features, hybrid powertrains, and advanced safety technologies to attract contemporary buyers.

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