Automobile manufacturer Maruti Suzuki said it expects vehicle production at its plants in Haryana and Suzuki's plant in Gujarat owing to the semi-conductor shortage. The company, though asserting that though the situation is still dynamic, estimates that total vehicle production volume could be around 85 per cent of normal production in both the locations combined.
"Owing to a supply constraint of electronic components due to the semiconductor shortage situation, the Company is expecting an adverse impact on vehicle production in the month of November’21 in both Haryana and its contract manufacturing company, Suzuki Motor Gujarat (SMG) in Gujarat," the company said in a statement.
Earlier this month, the automobile manufacturer had reported that its total sales in September fell by approx 46.2 per cent on a year-over-year basis to 86,380 units. Domestic sales fell 54.9 per cent to 68,815 units for the same period.
The Indian automaker attributed the downturn in sales to a shortage of electronic components. "Sales volume of the Company in September 2021 was adversely impacted due to shortage of electronic components. The Company took all possible measures to limit the adverse impact," the company said in its press release.
Additionally, the company had reported a 65.35 per cent decline in profit on a year-over-year basis at Rs 475.30 crore in the September-end quarter. Revenues in the second quarter fell approx 9.1 per cent at Rs 19.297.80 crore compared to the comparable period, last year.
"An estimated 116,000 vehicles could not be produced owing to the electronics component shortage mostly corresponding to the domestic models. The Company had more than 200,000 pending customer orders at the end of the quarter for which the Company is making all efforts to expedite deliveries," the company stated in its quarterly report.
