Coronavirus outbreak hitting parts supply of Indian automakers

Indian automakers Mahindra and Mahindra and Tata Motors stated on Sunday their supply of components from China had been hit, as fallout from the coronavirus outbreak increases.

“Going into March, we expect the challenge on parts-supply to continue for another few weeks, before we get back to normalcy,” said Veejay Ram Nakra, Chief of Sales and Marketing at M&M’s automotive division.

Tata Motors stated that it, too, had been hit by supply disruptions because of the coronavirus outbreak in China, and was working to mitigate the situation.

Together with Maruti Suzuki – India’s biggest carmaker – both companies on Sunday reported a reduction in sales in February, compared with a year earlier.

M&M stated its domestic sales had dropped by 42%, where as Tata Motors reported a decline of 34%. Maruti Suzuki stated its total domestic sales dropped by 1.6% in February from a year earlier.