Maruti Swift & Dzire may not get Hybrid/ SHVS versions
Before knowing why Maruti may not launch Swift & Dzire Hybrid Versions, you need to know why Maruti is launching Ciaz Hybrid/ SHVS in India.
Apart from these benefits, there are also some benefits like less import duty on hybrid kits etc.
Excise duty reduction :
|Vehicle Category||Excise Duty|
|Small cars (Length < 4m )||12.5%|
|Length >4m but engine capacity less than 1500cc||24%|
|Length >4m and engine capacity more than 1500cc||27%|
|SUVs/MUVs (length >4m, engine capacity >1500cc and Ground clearance >170mm)||30%|
Ciaz, which falls into >4m & engine capacity under 1500 cc garnishes 24% excise duty. However, for a hybrid vehicle the excise duty is just 12.5%.
Considering ex-factory cost of Ciaz at Rs 500,000, the excise duty at 24% is Rs 120,000.
If Hybrid, Excise duty at 12.5% is Rs 62,500
Saving to manufacturer : Rs 57,500 (Rs 120,000- Rs 62,500)
If you see, the major incentive is the excise duty rebate. This is the reason for Maruti launching Ciaz Hybrid even the cost of technology is high.
But for small cars (<4m), the excise duty is already at 12.5% & so they cannot benefit from it. They can only benefit from the cash incentive which is Rs 13,000- Rs 23,000. Only cash incentive may not be viable for Maruti to launch Swift & Dzire hybrid versions in India, even though they share the same diesel engine with Ciaz