As chip shortages ease, companies will increase car production by 18 to 20 percent

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Vehicle production in the March quarter will exceed pre-covid levels


MUMBAI: Passenger vehicle manufacturers are planning to increase production by an average of 15-20 per cent in the March quarter as compared to the December quarter as the shortage of semiconductors eased.

According to analyst and supplier estimates, if companies produce vehicles as planned, it is likely to exceed Corona's pre-production volume.

Sales have been sluggish despite good demand in India due to declining production of car-passenger vehicles due to shortage of chips. According to SIAM data, sales of landing vehicles in India fell to 5.31 lakh units in the December quarter from 2.3 lakh units in the same quarter a year ago, the lowest in five years.

Maruti Suzuki India plans to produce about 250,000 units of unloading vehicles in the current quarter, after manufacturing 2.8 units in the December quarter. Tata Motors is expected to produce 1.50 lakh units in the March quarter.


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