AGENCIES, New Delhi: Auto industry body Society of Indian Automobile Manufacturers (SIAM) on Tuesday said the closure of manufacturing plants by various automakers and component manufacturers due to coronavirus pandemic would lead to a revenue loss of over Rs 2,300 crore per day.
“As per quick estimates by SIAM, it is expected that plant closure of auto OEMs and components will lead to loss of more than Rs 2,300 crore in turnover for each day of closure,” Society of Indian Automobile Manufacturers (SIAM) President Rajan Wadhera said in a statement.
All major automakers like Maruti Suzuki India, Hyundai, Honda, Mahindra, Toyota Kirloskar Motor, Tata Motors, Kia Motors and MG Motor India have announced temporary shutdown of plants.
Two-wheeler makers like Hero MotoCorp, Honda Motorcycle and Scooter India, TVS Motor Company, Bajaj Auto, Yamaha and Suzuki Motorcycle have also suspended production.
Besides, tyre makers and other major auto component makers too have shut down manufacturing activities due to the coronavirus outbreak.
Meanwhile, Auto Dealers’ body, the Federation of Automobile Dealers’ (FADA), has filed a plea in the apex court seeking extension of date for sale of BS-IV vehicles beyond March 31. FADA contended that inventory of BS-IV vehicles have piled up with dealers as they were not being purchased due to economic slowdown and pleaded they be allowed to sell till at least April end.
The apex court may hear the plea on Mar 27.