MUMBAI, Jan 2 (NNN-PTI) – India auto companies continue to face supply chain issues, in semi-conductor and electronic components, impacting their sales for the month of Dec, 2021, though some companies reported a surge in sales.
“The issues around semi-conductor related parts continue to be a challenge for the industry and remains a major focus area for us,” said Veejay Nakra, CEO of Automotive Division of Mahindra & Mahindra, which reported a 10-percent rise in domestic sales of passenger vehicle, but its commercial vehicles saw a 13-percent decline, last month.
India’s largest passenger car manufacturer, Maruti Suzuki, reported a four-percent drop in total sales to 153,149 units in Dec, 2021.
“The shortage of electronic components had a minor impact on the production of vehicles during the month. The shortage primarily affected the production of vehicles sold in domestic market. The Company took all possible measures to minimise the impact,” Maruti Suzuki said, in its filing with the Bombay Stock Exchange.
However, Tata Motors bucked the trend, to report a robust 24-percent growth in Dec domestic sales to 66,307 units, from the same month in the previous year.
“We expect the situation to remain fluid as the semi-conductor shortage continues, instances of COVID-19 begin to rise and underlying demand continues to remain under pressure. We are keeping a close watch on the evolving situation and sharpening our agile, multi-pronged approach to fulfil customer orders,” said Girish Wagh, executive director of Tata Motors.
According to industry sources, India auto industry suffered, on account of shortage of semi-conductors in 2021, affecting the festive sales during the year.
Japan’s Nissan Indian subsidiary reported a 159-percent rise in domestic sales at 3,010 vehicles during Dec.
“Going forward, with the support of the supply chain, our endeavour will be to maintain this growth momentum for the upcoming months and to continue to deliver value to customers, with the lowest cost of ownership towards customer assurance,” said Rakesh Srivastava, managing director of Nissan Motor India.– NNN-PTI
