Home / Auto News / Maruti Suzuki sees impact on Oct output due to acute chip shortage
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The country's top carmaker Maruti Suzuki on Thursday said it expects total vehicle production volume in October at two of its plants – Haryana and Gujarat – to be around 60% of normal levels due to a shortage of semiconductors.

Due to an acute shortage of semiconductor chips, an adverse impact on vehicle production in October in Haryana and Gujarat is expect, Maruti Suzuki said in a regulatory filing.

"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 October’21 in both Haryana and its contract manufacturing company, Suzuki Motor Gujarat Private Limited (SMG) in Gujarat," the carmaker said.

"Though the situation is quite dynamic, it is currently estimated that the total vehicle production volume across both locations could be around 60% of normal production," the statement noted.

Meanwhile, industry body CEAMA said that the domestic appliances and consumer electronics industry, facing shortages in components such as semiconductors and chips, expects the situation not only to last through 2022 but also to stretch into 2023.

Several manufacturers, using chips as inputs, are now facing bottlenecks in their capacities and expect a delay in launches of new products, said the Consumer Electronics and Appliances Manufacturers Association (CEAMA).

Moreover, shortage of chips, coupled with rising ferrous products, has also offset the softening of prices happening in the sector after some of the commodities like resins and chemicals have shown price corrections, said CEAMA President Kamal Nandi.

"The industry might run short of controllers owing to shortages of semiconductors and other electronic components. Keeping in mind the surge in demand during festive, we have taken appropriate measures to mitigate the near-term risks," CEAMA President Kamal Nandi told news agency PTI.

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