Automakers Slam The Brakes Amid Covid-19 Lockdown
Automakers across the country have all declared temporary shutdowns, aligning with government notifications as India goes under lockdown.
As the world comes in contact with the novel coronavirus (Covid-19) death toll rises, automakers globally are slamming the brakes by taking extreme measures in the form of plant closures to halt the spread of this pandemic. The situation remains fluid as more and more companies suspend work and manufacturing plants across the globe shutdown.
“With a view to the deteriorating situation arising out of COVID-19, SIAM and ACMA have both requested their Members in OEMs and Auto Component Industry to consider plant shut down for a limited period to overcome the critical period so that workers are not exposed to the virus.” stated Mr Rajan Wadhera, President, SIAM
So far, here are the all the Automakers and companies that have halted production as of March 23rd in India.
Maruti Suzuki India
Maruti, which builds one in every two cars sold in India, said it would immediately shut production and office operations at its facilities in the northern state of Haryana.
"The duration of this shutdown will depend upon government policy," Maruti said in a statement on Sunday.
Maruti Suzuki has been taking all recommended precautions in its operations like sanitization and hygiene, temperature checks, maximizing video-conferencing and minimizing contact, closing employee travel, health and distancing advisories to employees but as the lockdown imposed by the government is enforced The Company will shut production and office operations at its facilities in Gurugram and Manesar, Haryana with immediate effect till further notice. The R&D Centre at Rohtak will also remain closed.
Honda Cars India
Japanese automaker Honda Cars has halted production operations at both its manufacturing plants in Greater Noida, Uttar Pradesh and Tapukara, Rajasthan from 23rd Mar till 31st Mar 2020.
Gaku Nakanishi, President & CEO, Honda Cars India said, “In these trying times, health, safety, and well-being of our associates, their families, and the community at large is of utmost importance. We standby them during this tough phase and urge everyone to take all possible measures to prevent COVID-19 from spreading further. Social distancing is the need of the hour. We can overcome the pandemic if we collectively show restraint, resolution, and responsibility.”
For the Past few weeks, HCIL’s risk management committee has been monitoring the situation for the last several weeks and implementing multiple preventive measures in all its office and manufacturing premises to ensure safety and well-being of all associates while increasing awareness at individual level to help contain the spread of the virus. All Honda dealerships across India have also been asked to implement mandatory protocol while interacting with customers for prevention of the virus spread.
Mahindra and Mahindra
The State of Maharastra showing the highest number of COVID-19 Infected cases, Mahindra and Mahindra has suspended the manufacturing operations at the Nagpur Plant, Chakan (Pune) and Kandivali (Mumbai) from Monday night onwards.
Anand Mahindra, the chairman of Mahindra & Mahindra has said on twitter that he will be offering his 100% salary to deal with the rising menace of Coronavirus and has directed his group to immediately begin work on the manufacturing of ventilators at its own factories as Covid-19 appears to be reaching the stage 3 of transmission.
“To help in the response to this unprecedented threat, we at Mahindra Group will immediately begin work on our manufacturing facilities can make ventilators," said Mr. Anand Mahindra.
Additionally, Mahindra Holidays will offer resorts as temporary care facilities and the group's project team stands ready to assist the Govt/Army in erecting the temporary care facilities.
In view of the orders pronounced by the Government of Karnataka for all labor-intensive industries to work at 50% of their strength on alternate days. Keeping the safety of employees as the top priority, TKM has voluntarily decided to temporarily halt production in its plant in Bidadi, Karnataka till further announcement.
Moreover, TKM has also expanded ‘Work From Home’ for all its employees in its Regional SBUs (Strategic Business Units) in Delhi, Mumbai, Kolkata & Bangalore.
India’s number 2 automaker - Hyundai Motor India suspends its Manufacturing operations at the Chennai facility from Monday, 23rd March 2020 till further notice to stop the spread of coronavirus (COVID-19).
We will await further notifications from the State Government to resume plant operations, the company said.
The Korean Carmaker is offering extended support for 2 months to Customers who are not able to avail vehicle warranty/ extended warranty/ Free Service due to health emergency or dealership shutdown in affected cities.
Two Wheeler manufacturer, Suzuki Motorcycle India has suspended production at its manufacturing plant at Kherki Dhaula, Gurgaon till further notice. This is in view of the precautionary measures taken in the wake of the COVID-19 pandemic and in line with the Haryana Government directives in this regard.
SMIPL Managing Director, Koichiro Hirao said, “While the Company has taken all measures to ensure the well-being of its employees at the workplace, we have announced a `Work from Home’ advisory to our employees and associates who are not involved with maintaining essential services.”
Honda Motorcycle and Scooters
Honda 2wheelers India has temporarily announced the shutdown of operations across all its four manufacturing plants with immediate effect till further notice. The duration of this shut down will depend upon the Government policy.
To maintain business continuity and support of all stakeholders, the company has introduced ‘Work from Home’ policy for all its office-based associates, except for those whose physical presence is necessary to run the day-to-day essential services.
Volkswagen AG's India unit said on Sunday it has stopped production at its facility in Pune for three weeks as part of an ongoing business transition and is ensuring the safety of its employees.
Tata Motors has been rapidly scaling down activities at Pune site to get to skeletal operations by end of Monday, 23rd March 2020 and be ready for plant closure by end Tuesday, March 24th.
Tata Motors’ luxury unit Jaguar Land Rover is temporarily suspending production at its UK manufacturing facilities over the course of next week. The company has several manufacturing plants in the United Kingdom, including Solihull, Castle Bromwich, and Halewood. It intends to resume production in the week of April 20, subject to review of the circumstances at the time.
Bajaj Auto has announced that its four plants in Akurdi, Chakan, Aurangabad, and Pantnagar will remain shut for the next eight weeks.
Luxury car maker Mercedes Benz has also decided to suspend production at it's manufacturing facility in Chakan from 21st March to 31st March. "This action is a proactive precautionary measure taken to ensure the safety, health and well-being of its employees and further contain the spread of the pandemic by practicing social distancing", said a company spokesperson.
The world's 8th largest Automaker - Kia Motors has seen huge success with the Kia Seltos in the Indian Market. Amidst Corona Virus Pandemic Kia Motors suspends all its operations with immediate effect. With this, the company’s manufacturing facility in Anantapur (Andhra Pradesh) and company office premises will stop functioning until further notice.
Renault & Nissan
RNAIPL will be temporarily halting its operations at its manufacturing plant at Oragadam, Chennai from March 24, 2020 until further notice. Renault recently launched the updated Duster with BSVI compliant engines.
India Yamaha Motor (IYM) Pvt. Ltd. has taken the preventive counter-measure of suspending its manufacturing operations at its Plants in Chennai (Tamil Nadu), Surajpur (Uttar Pradesh) and Faridabad (Haryana) till 31st March 2020.
The operations at the Surajpur plant in Uttar Pradesh and Faridabad Plant in Haryana has been suspended from 23rd March to 31st March whereas the operations at the Chennai plant in Tamil Nadu will be suspended from 24th March to 31st March. The Company is providing the employees working at the Head Office and Area Offices with the option to Work from Home till March 31st.