Siam to Reassess Emission Rules Amid Maruti's Protests

Cafe norms place a cap on the average CO2 emissions of a carmaker's entire fleet

- Ayaan Kartik & Nehal Chaliawala

Indian car manufacturers are driving towards a compromise on recommendations to the government on fuel efficiency standards after Maruti Suzuki, the country's largest carmaker, demanded concessions on emission norms for small cars amid slowing sales.

During a meeting of the industry lobby group Society of Indian Automobile Manufacturers (Siam) held on Friday in the national capital, a compromise was reached that the December submission of the industry sent to the government on the third edition of the so-called Corporate Average Fuel Efficiency (Cafe 3) norms will be retained, but with an additional proposal on possible relaxations for small cars as well as some light commercial vehicles, two people aware of the matter said on the condition of anonymity.