Production at Maruti Suzuki continues to be hit by semiconductor shortage: CFO
1 min read 29 Jan 2023, 11:54 AM ISTMaruti Suzuki India could not produce around 46,000 units in the October-December period owing to the semiconductor shortage.
PremiumIndia's largest carkamer Maruti Suzuki continues to witness an impact on its production as semiconductor supplies still remain unpredictable, the company's CFO Ajay Seth says.
In an analyst call, Seth said “Limited visibility of electronic components is a challenge in planning our production. Electronic component shortage is still limiting our production volumes."
Stating that the supply situation of electronic components remain unpredictable, he said "Our supply chain, engineering, production and sales teams are working towards maximising the production volume from available semiconductors."
The company's pending customer orders increased to about 3.63 lakh units at the end of the third quarter, 2022.
As reported by news agnecy PTI, the auto major is now working on ways to maximise its output from available supply of electronic components to deal with the situation.
Semiconductor supply situation improved in the third quarter of 2022 as compared to the second quarter. However, Maruti Suzuki India could not produce around 46,000 units in the October-December period owing to the semiconductor shortage.
At present, Maruti Suzuki has a cumulative production capacity of 15 lakh units per annum at its Manesar and Gurugram plants. From the Gujarat facility, the company has access to additional 7.5 lakh units.
Answering the question about MSI's sales growth outlook, Maruti Suzuki India Executive Officer Corporate Affairs Rahul Bharti said: "The demand scenario seems to be healthy as of now... industry is yet to come out with a number... what we are thinking is that we should grow faster than the industry."
He also expressed concerns about the abnormally high prices of the fuel, although the company is fine with the penetration levels of CNG at the moment, he added.
Maruti Suzuki India recently unveiled two new SUVs at the Auto Expo 2023 – Maruti Suzuki Jimny and Maruti Suzuki Fronx. The former is built on the 4 essentials of an off-road machine – Ladder Frame Chassis, Ample Body Angles, 3- link rigid axle suspension and ALLGRIP PRO (4WD) with low range transfer gear (4L mode).
The Marut Fronx, on the other hand, features an aerodynamic silhouette and upright front and rear facia with roof rails and a wide bonnet. The SUV comes with Black and Bordeaux contrasting colour scheme.
(With PTI inputs)
