Monday, 19 September 2011

Maruti Suzuki A-Star exports delayed due to strike

As we all know, that the ongoing strike at Maruti India's Manesar plant has created a lot of issues for the company. The company already was feeling the pinch of increased fuel prices, Interest rate hike, competition from its peers and even the strike which hit the company in June 2011.

The strike has once again hit the company badly over the "Good Conduct Bond" which the company wants their employees to sign before entering the company gates. At Maruti's Manesar plant, we have production of SX-4, Suzuki and A-Star. However, the Dzire production was shiftet to Gurgaon plant after the company was hit by strike and hence production loss of over 13,000 cars due to which the production pressure on the company has burdened up and also to meet the targets of the new Swift which was to be launched, the company decided to shift the production of Dzire to Gurgaon plant. A-Star and SX4 are the two cars for which the production is only at Manesar plant. Manesar plant is also the location which manufactures A-Star for exports.

Due to the ongoing strike, the company had suffered huge losses in Production of A-Star. A top official with the company said that this is likely to have adverse effect on exports especially since the company ships out 2 to 3 shipments every month for orders received. A-Star is manufactured only at the company's unit in Manesar.  This car is shipped to foreign markets like Europe, South America, Asia and Africa. A-Star is sold as Alto in Europe and Celerio in other countries, while Nissan sells the same car as Pixo in Europe. 


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