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INDIA’S largest carmaker Maruti Suzuki India Ltd ( MSIL) has relaunched its venerable WagonR model with a new design and a brand new engine.

As competition hots up in India’s exploding ‘ B’ car segment — compact hatchbacks and wagons — Maruti is hoping its second- best seller after the Alto will tackle competition from global carmakers like Ford, GM and Volkswagen.

The new WagonR is priced between Rs 3.28 lakh and Rs 3.81 lakh ( exshowroom in Delhi), creating a new price point about Rs 10,000 cheaper than competition, but about the same amount more expensive than the old model WagonR, depending on the variant. The new WagonR will take on the likes of GM’s Chevrolet Beat ( Rs 3.41 lakh- Rs 4.43 lakh), Ford’s Figo ( Rs 3.49 lakh- Rs 3.99 lakh) and Hyundai’s i10 ( Rs 3.47 lakh- Rs 3.83 lakh), among others.

The new WagonR “ demonstrates the growing research and development capability of the company,” Maruti Suzuki India CEO Shinzo Nakanishi said. Developed on the current WagonR platform in Japan, the car is powered by the BS- IV compliant 998cc Kseries engine. MSIL had invested Rs 290 crore to bring out the WagonR. The existing WagonR, which was launched in 1999 and sold a total of 8.8 lakh units, will be phased out.

“ WagonR was the second best- selling car last year. It averaged about 10,000 to 12,000 units a month and I am confident that we should be able to maintain that sales,” MSIL executive officer ( marketing and sales) Mayank Pareek said.

He said the new WagonR, with its pricing and features, will be able to ward off competition in the compact car segment, where there are nearly 20 models in all. The new WagonR is taller, wider and longer than the old one, though width has gone up by just five mm and the wheelbase lengthened by 10 mm. It is much taller than the old model at 1.7 metres, up from 1.53 metres.