Ola Electric suspends production at Tamil Nadu plant | Business Upturn

Ola Electric suspends production at Tamil Nadu plant

The company spokesperson cited “maintenance” as a reason for the dismissal in production.

Ola Electric, the brand new Indian electric two-wheeler company has temporarily shut production at its Krishnagiri plant in Tamil Nadu for almost a week. This Kirshnagiri plant is also called as “Future Factory”.

Ola Electric has stated that the plant has been shut due to annual maintenance and installation of new machines.

However, some sources with the information stated that there has been an inventory pile-up. Which has caused downing tools.

There are around 4000 units of scooters piled up at the plant. And other thousands of units that have been pre-ordered by customers and are ready to be shipped.

According to a source, Ola Electric ceased the production line on 21st July. And has cut down their daily production to 100 against the daily capacity of 600.

“Like most auto companies that go through annual maintenance at their factories, we did too. At no point can this be considered as shutting down production. Hence, clarifying that (information) is untrue,” an Ola spokesperson

The company did clarify booking numbers, production of the vehicles or even the duration of suspension of their production in the Future Factory.

Earlier in April, Ola Scooters recalled 1441 scooters as a pre-emptive measure after an Ola S1 Pro scooter was set ablaze in Pune due to a defect in manufacturing.

This incident received Union Minister of Road Transport, Nitin Gadkari. As he took on Twitter to address this issue, where he mentioned that these types of incidents will be investigated and urged companies to recall their defective batches.