A significant division has emerged among Indian automakers regarding the proposed creation of a new 'mini-car' category that would provide emissions leniency under the upcoming CAFE 3 norms. Maruti Suzuki and Toyota have been pushing for this new category, which would potentially allow smaller vehicles to meet less stringent emissions standards. However, other major manufacturers including Tata Motors, Mahindra & Mahindra, Hyundai, Kia, and JSW MG have expressed reservations about this approach. The matter was discussed in a high-level meeting with Transport Minister Nitin Gadkari, where industry leaders presented their differing perspectives on how to balance environmental concerns with market realities.

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