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Maruti Suzuki India won’t completely stop making cars out of Gurgaon plant

MUMBAI: Maruti, India’s largest carmaker, is planning to cut car production at its Gurgaon plant and has no intentions of completely shifting vehicle production out of the city in the immediate future, chairman RC Bhargava said.

Maruti is preparing to shut down one line out of the three assembly lines at Gurgaon, thus reducing the installed capacity in their mother plant by 30% to five lakh cars, as against a production capacity of 7.2 lakh cars at present, Bhargava said.

The Economic Times, in a report published on March 26, had alluded that the company will cease car making at its Gurgaon factory, which the Maruti chairman declared is not correct and added that its proposed Gujarat plant will make cars after its plants in Gurgaon and Manesar are fully utilised.

“What we did say was that out of the three assembly lines at Gurgaon, we would shut down one line by 2015, reducing the installed capacity to 5 lakh cars, as against 7.2 lakh at present. In the space which would become available we would install our new diesel engine plant with a capacity of 3 lakh engines and also make components,” Bhargava said.

The reduction of car assembly was necessary to meet the complaints of residents of Gurgaon, who were being inconvenienced by the movement of the trailers carrying cars from the factory and the large quantities of incoming material.

Bhargava said this move is in line with Osamu Suzuki said two years ago. “It was never stated in the press conference that any assembly lines had been stopped. At one point, when the market was booming, we had increased production to about a million cars, by doing extended shifts, overtime and other makeshift measures. The production now is near the installed capacity, in view of market conditions,” he added.

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Posted by on Mar 28 2012. Filed under Automobile News. You can follow any responses to this entry through the RSS 2.0. Both comments and pings are currently closed.

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