Big blow to Tata Motors due to Gujarat rains, supply of Nexon-Tiago may be affected

Tata Motors Sanand Plant: The impact of continuous torrential rains and floods in Gujarat is now clearly visible on the country’s automobile industry. It is seen that the country’s leading automobile manufacturer Tata Motors Passenger Vehicles Limited has currently stopped the production of cars at its Sanand plant in Gujarat. The company has informed that due to heavy rains, not only the plant has been affected but many supplier units around it have also been affected by floods. In such a situation, it is not possible to continue production at present. Sanand plant is counted among the most important manufacturing centers of Tata Motors. The company’s popular cars Tiago, Tigor, Nexon and the upcoming Sierra are manufactured here.

Repair work continues, hope to be back to normal soon

Tata Motors informed the stock market that repair work is going on at a rapid pace in the plants and supplier factories affected by the flood. Regarding which the company hopes that as soon as the situation becomes normal, production will be restarted in the next few days. But till now the company has not shared the figures of possible economic loss due to floods. Regarding this, the company has also clarified that it has insurance against losses caused by floods and other natural disasters, which can compensate some of the financial loss.

Will car deliveries to customers be affected?

It is seen that the Sanand plant produces a large number of vehicles every month which are sent to the dealership network across the country. In such a situation, if production remains closed for a long time, the supply and delivery of some popular models may be affected. But for now, due to the stock available with the company’s dealers, the possibility of any immediate major impact on customers is said to be low. But still, if production is disrupted for several days due to rain and floods, then the waiting list of cars like Nexon, Tiago and Tigor may increase.

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Record rain affects entire industrial sector

As is clearly visible, record level rainfall has been recorded in Gujarat in the last few days. In which about 294.6 mm of rain fell in Ahmedabad in a single day, creating flood-like conditions in many areas. Thousands of people were evacuated to safe places while rail services were also affected. Its impact is not limited to Tata Motors only.

Many automobile, pharmaceutical, textile and other manufacturing companies present in the Sanand-Ahmedabad industrial area have also informed that their production has been affected. It is clear from this that natural disasters are now affecting not only the lives of people but also the supply chain and industrial activities of the country.

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