Car sales rise but automakers warn of supply chain disruptions – Times of India

NEW DELHI: Carmakers in India reported a pointy rise in annual gross sales for the fiscal 12 months 2022 on Friday, however warned of future dangers from world provide chain disruptions.
Maruti Suzuki, India’s largest carmaker, stated gross sales rose 13% within the fiscal 12 months ended March 31 to 1.65 million models, rising for the primary time in two years. However the firm warned that “the provision state of affairs of digital elements continues to be unpredictable”.
This might need “some impression” on the manufacturing quantity within the present fiscal 12 months, Maruti stated in a press release. Maruti, which sells one in each two automobiles in India, is majority owned by Japan’s Suzuki Motor Corp.
Automakers globally have been pressured to make sharp manufacturing cuts over the previous 12 months as provide chain disruptions and booming demand for shopper electronics have led to an acute scarcity of semiconductors. This has resulted in lengthy wait occasions for automotive patrons.
Now, Russia’s invasion of Ukraine is anticipated to worsen the issue as each international locations provide uncooked supplies used to fabricate semiconductors, Indian rankings company ICRA stated.
“The impression of the disaster within the type of increased gas and commodity costs additionally poses a danger to (vehicle) demand prospects, in case it materialises into a protracted drawn out warfare,” ICRA stated.
Tata Motors, which can be India’s largest electrical carmaker, reported its highest ever annual gross sales of passenger automobiles, up 67% to 370,372 models from a 12 months in the past. Its electrical car sales grew almost 4 occasions to 19,000, the corporate stated in a press release, regardless of “two waves of Covid, semi-conductor disaster and steep improve in commodity costs”.
“Going ahead, semi-conductor state of affairs stays unsure. We’ll proceed to watch the evolving state of affairs intently,” stated Shailesh Chandra, managing director, Tata Motors Passenger Automobiles and Tata Passenger Electrical Mobility.

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