India’s largest carmaker, Maruti Udyog Ltd, has planned a complete makeover of its old warhorse, the Maruti 800, by mid-2008. The new model is part of MUL’s flanking strategy against Tata Motors’ Rs 1-lakh car, scheduled to hit the market by 2008-end. The other flank will be the new 660cc small car being developed at Suzuki’s headquarters in Hamamatsu, Japan. The new Maruti 800 will be on the existing platform but would sport a more contemporary look, entirely different from the current product. Both cars are likely to be priced aggressively against Ratan Tata’s dream car.

Though a company spokesperson denied any such development, a component supplier to Maruti confirmed to FE, “The company has started discussions with us for launching the completely revamped version of the over 23-year-old Maruti 800. The new car would look completely different from the existing one, but sell at the same price.” MUL is likely to retain the 796cc engine that powers today’s Maruti 800.

The Maruti 800, which was launched in 1983, has undergone four major facelifts, the last being in 2002. Of late, sales have declined with the introduction of the Alto. For instance, 7,021 units were sold in January, down 15% compared to the 8,262 units in Jan ‘06.

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