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Maruti Suzuki’s Gujarat plant in slow lane due to semiconductor shortage

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Maruti Suzuki’s Gujarat plant in slow lane due to semiconductor shortage

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Maruti Suzuki has said that due to the semiconductor shortage, production at Suzuki Motor Gujarat plant will be partially impacted. Suzuki Motor Gujarat will tentatively not be carrying out production on three Saturdays in the month of August and some production lines may work just one shift temporarily.

Maruti Suzuki has said that due to the semiconductor shortage, production at Suzuki Motor Gujarat plant will be partially impacted. Suzuki Motor Gujarat will tentatively not be carrying out production on three Saturdays in the month of August and some production lines may work just one shift temporarily.

According to industry estimates, this could lead to a production loss of roughly 12,000 units for Maruti Suzuki in the first fortnight of August. Suzuki Motor Gujarat is responsible for manufacturing some top models for Maruti Suzuki including Baleno, Swift and Dzire, which comprises roughly 43,000 out of 1,36,000 units sold by Maruti Suzuki in the domestic market in the month of July.
The impact of semiconductor shortage could be felt by Maruti’s Gurgaon and Manesar plants as well. The company is hoping to make up for this production loss in the second fortnight of August. If that does not happen then the company could be looking at a production loss of roughly 30,000 units in the month of August.
CNBC-TV18’s Parikshit Luthra explains how this will impact the company's production numbers.
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