Could Suzuki E-Vitara Deliveries Be Delayed Due To This Reason? Suzuki Curbs EV Production By Two-Thirds? News24 –
Amid the ongoing rare earth metal curbs, Maruti Suzuki has reduced its production for their soon to debut Electric Vehicle The E -Vitara, for the first half of the 2025-26 fiscal year. As per a company document that was reported about by Reuters the automakers has plans to only produce close to 8,221 units between April and September 2025, the said figures is about Two-Thirds of the official target of around 26,512.
The Shortage for such materials rose up when China established restrictions on rare earth Exports, which has affected the availability of key components like the magnets essential for electric vehicles production. The impact of the shortage was felt globally. While US, Europe and Japanese manufacturers have been able to secure new licenses Indian manufacturers are still waiting for similar approvals.
Suzuki’s Plan To Compensate For The Shortage
A report by an Autocar professional has pledged that Suzuki would be able to complete their production goals by ramping up production in the second half of the year. Amid the ongoing tussle between nations to persuade China to ease the supply, China had previously announced that it would accelerate the approval of rare earth exports. A report from Reuters, has revealed that price commitments consultations between China and EU on Chinese made vehicles exported to EU have reached its final stages.
The issue has been discussed at length between Chinese commerce Minister Wang Wentao and EU trade Commissioner Marcos Sefcovic in Paris on Tuesday. Such comments indicate the progress in the matters that have impacted China’s relationship with Eu over the past year.
Most recently, China’s decision in April to suspend exports of a wide range of rare earths and related magnets have caused a issue for automakers allover Europe.
Impact Beyond The Global Auto Industry
China’s decision to suspend the exports of a wide range of rare earth minerals and related magnets has caused major hindrances for automakers and also affected the global supply chains of necessary components for EV battery production. EV production is not the only dynamic that has reported such issues aerospace manufacturers, Semiconductor companies and Military contractors around the world have been witnessing similar issues as well.
China’s dominance of the critical mineral industry, a key to green energy transition, has been serving as a out as a key leverage in its response towards the trade war initiated by US President Donald Trump. According to a Reuters Report, China has a key majority in supplying key earth minerals and China produces about 90% of the World’s Rare Earth Minerals. While the decision could be directed towards US and their Tariffs, automotive industries around the world have been witnessing the brunt of the issue. Manufacturers such as Mercedes Benz are actively working towards the creation of a buffer stock of such materials to protect themselves against such issues.