Country’s largest carmaker, Maruti Suzuki India Ltd plans to shut down all its manufacturing plants across Haryana and Gujarat in an attempt to let its large vendor base divert oxygen for medical requirements amid the second wave of rising coronavirus infection, the company said in a regulatory note on Wednesday.
The company said it would advance its annual maintenance shutdown, originally planned for June, to 1 May to 9 May, 2021.
“As part of the car manufacturing process, Maruti Suzuki uses a small amount of oxygen in its factories while relatively much larger quantities are used by the manufacturers of components. In the current situation, we believe that all available oxygen should be used to save lives. Accordingly, Maruti Suzuki has decided to advance its maintenance shutdown, originally scheduled for June, to 1st to 9th May,” the company said in a statement.
The statement also added that while production in all Maruti factories will close for maintenance during the stated 9-day period, Suzuki Motor Gujarat has taken the same decision for its 3 factories in Gujarat.
As part of the car manufacturing process, Maruti Suzuki uses a small amount of oxygen in its factories while relatively much larger quantities are used by the manufacturers of components. In the current situation, we believe that all available oxygen should be used to save lives.
The announcement comes a day after the company posted its March quarter results for the last fiscal.
In the post-results call yesterday, Maruti Suzuki chairman RC Bhargava had said that while the production has not been impacted at all this month, the company is closely monitoring the covid-19 situation and continues to assess possible disruptions in the coming weeks.
“Although Maruti Suzuki does not use liquid oxygen in its production processes, several suppliers use oxygen in large quantities,” Bhargava said yesterday, not dismissing the possibility of possible supply chain disruptions on account of diverting oxygen for medical needs.
India continues to report more than three lakh new covid-19 patients for a week as the country’s overwhelmed health infrastructure has pushed the medical oxygen supply chain beyond its limits. Several companies such as Tata Group, Reliance Industries Ltd, JSW Steel, and several others have stepped in to divert oxygen to the hospitals across the country.
