Maruti hit as India cancels small car exemption after Tata, Mahindra complaints

• India cancels proposed small car exemption in fuel-efficiency norms after complaints from Tata Motors and Mahindra & Mahindra.
• The exemption, seen favoring Maruti Suzuki, was for petrol cars weighing 909 kg or less, where Maruti holds 95% market share.
• Ministry of Energy removed the exemption and tightened other standards, increasing pressure on automakers to boost EV and hybrid sales.
• New rules, effective April 2027 for five years, aim to level the playing field and promote electric and hybrid models.
• Non-compliance incurs a penalty of up to $550 per car; revised plan targets reducing average fleet emissions to 100 grams/km by March 2032.