Companies

Covid-19 impact: TVS Motor sees February output taking 10% hit

Our Bureau Chennai | Updated on February 24, 2020 Published on February 24, 2020

Company looking at supplies from other regions, localisation

Two- and three-wheeler maker TVS Motor on Monday said it might witness a 10 per cent drop in its production for February due to the impact of the coronavirus (Covid-19) outbreak in China.

The outbreak of the virus has impacted the supply of specific components for the production of BS-VI vehicles. China is a key link in the global automotive supply chain.

“While TVS Motor’s direct dependency on China is limited to components, some Tier II suppliers have been impacted adversely, which will lead to 10 per cent drop in the planned production in February 2020,” a company statement said.

The company’s total production for January was little over 2.01 lakh units.

“At TVS Motor Company, we have completely transitioned to BS-VI in January 2020. To minimise the impact on the production of BS-VI vehicles, we are consistently monitoring suppliers who are sourcing certain components from China,” said KN Radhakrishnan, Director & CEO, TVS Motor Company.

Simultaneously, TVS Motor is also exploring suppliers in other regions and is looking to localise within India.

As the two-wheeler market has been battling a slump, TVS Motor Company registered a 29 per cent fall in overall domestic two-wheeler sales at 163,007 units during January, while its total two-wheeler volumes fell 19 per cent at 2,146,969 units for the April 2019-January 2020 period.

Published on February 24, 2020
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