India’s top automakers Mahindra & Mahindra, Maruti Suzuki expect better sales amidst chip shortage this festive season

Mahindra & Mahindra also faced a chip shortage due to which the previous week the company decreased around 25 per cent from its automotive sector counting no production days due to the incidental semiconductor shortage.

India’s finest automaker, Maruti Suzuki, Toyota Kirloskar Motor and Mahindra & Mahindra expects the demand and sales to be improved this festive season for the current fiscal year. Since the companies faced a major setback in the form of chip shortage, the previous year, the situation grows on to be more challenging for the manufacturers to battle and survive this year as per their production schedules.

“At the moment demand looks ok. It is slightly better than last year. If we look at the bookings, enquiries, retails, these are robust. On the supply side of course we may have some adverse effects, we are monitoring that,” Maruti Suzuki India (MSI) Senior Executive Director Shashank Srivastava told PTI in an official note. He identified that MSI’s inventory level, calculated recently is 23-24 days whereas the appropriate level will measure up to 30 days.

Mahindra & Mahindra Automotive Division CEO Veejay Nakra averred, “Utility vehicles (UVs) will continue to dominate the space of festive demand contributing to almost half of the PV segment. We are committed to enhancing the festive season offerings and focused on making the new launches a big success and are working towards transforming the way we deliver experience to our customers. The core focus is now to deliver a delightful customer experience, and we are leveraging all our digital tools and assets to enhance customer experience end-to-end.”

Commenting on the chip shortage, Toyota Kirloskar Motor’s Associate General Manager (AGM), Sales and Strategic Marketing V Wiseline Sigamani averred that with demand gradually increasing the company intends to cater to the needs of its customers. “TKM also announced the launch of New Fortuner in January this year, which witnessed a tremendous response from our customers, and we expected overall sales momentum to continue this year,” the official asserted.

Source Money Control
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