After a gap of 63 days Maruti Suzuki resumes production at its Gujarat Plant
New Delhi: After a gap of about two months, Maruti Suzuki India, India’s largest carmaker, has announced that it’ll resume production at its Gujarat Plant from Monday.
The production was initially halted for 3 days on 23rd March following the government directive to check the transmission of coronavirus. However, after the announcement of the nationwide lockdown the company on 26th March had extended the closure of the plant till April 14 and then extended till further notice.
“Maruti Suzuki India Limited (MSIL) has been informed by Suzuki Motor Gujarat Pvt Limited (SMG) that they would re-start production of vehicles from the 25th of May 2020, strictly in accordance with the Government regulations and guidelines and by observing the Company’s own concern for the highest standards of safety,” said MSIL in a stock market filing.
Suzuki Motor Gujarat manufactures cars on a contract basis for MSIL. The company had reported zero sales in April while its March sales dropped by 48% due to lockdown restrictions and closure of its manufacturing facility.
Suzuki Motor has already put its expansion plans on hold due to the coronavirus pandemic and the economic downturn the world is facing. Last year, Suzuki Motor had said the production capacity of Gujarat plant would be enhanced up to 7,50,000 units. But now the expansion plan has gone into uncertainties.
The Suzuki Motor will announce its financial results for the 2019-20 financial year ending March 31st on 26th of May Tuesday. The announcement, which was scheduled to announce the results in Mid-May, had deferred due to the lockdown announced by several countries and the state of Emergency announced by the Japanese government.