TVS Motor Company’s share fell s 6.3 per cent said that the coronavirus outbreak in China and beyond will hit the supply of certain components for the production of BS-VI vehicles to the company. Although TVS Motor’s direct dependency on China for import of automobile components is limited, some Tier II suppliers have been impacted adversely which would lead to an estimated 10 per cent drop in planned production in February, the company said.
At 11:23 am, shares of TVS Motor traded at Rs 429.50 apiece on the BSE, down 2 per cent from the previous close, while the benchmark Sensex was flat at 40,397.79 points. BSE Auto index was down 0.5 per cent at 16,683.67 points. To minimise the impact on the production of BS-VI vehicles, we are consistently monitoring developments with those of our suppliers who are sourcing certain components from China. The company is also exploring suppliers in other regions and are looking to localise within India. Endeavour is to ensure that the impact on customers and operations is minimal, said by K N Radhakrishnan, director and CEO of TVS Motor.
According to from the Society of Indian Automobile Manufacturers (Siam), TVS Motor’s two-wheeler production in January saw a drop of 29 per cent year-on-year to 201,651 units. The company’s total two-wheeler production during April–January was at 2,670,076 units, down 16 per cent YoY. Three-wheeler production, on the other hand, rose 14 per cent YoY to 14,742 units in January.
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