India’s largest car manufacturer, Maruti announced that without having goal to cut completely car making at its Gurgaon factory, it plans to cease one part out of three in the immediate future
Dismissing its previous earlier statement of ending car making plants at Gurgaon, Maruti Chairman RC Bhargava said, “What we did say was that out of the three assembly lines at Gurgaon, we would shut down one line by 2015, reducing the installed capacity to 5 lakh cars, as against 7.2 lakh at present. In the space which would become available we would install our new diesel engine plant with a capacity of 3 lakh engines and also make components.”
Maruti’s decision to cease one line at Gurgaon resulted because of complaints of Gurgaon’s people, being difficult for them by the movement of cars from the factory with large quantities of incoming material that pollute the atmosphere.
Therefore recommending social resistance requirements, Maruti will decide to reduce its Gurgaon car making capacity by 30% to five lakh cars.
“Gujarat is an option” declaring this statement wrong, Maruti said “It was never stated in the press conference that any assembly lines had been stopped” after planting in Gurgaon and Manesar are fully optimized then Gujarat plant will make cars.
It is said to remind that period when Maruti had hike capacity of making cars about a millions with shifting and other makeshift measures.
Like that, at this time the market is booming and Maruti accepted the challenge of equalizing car making with the installed capacity under the market circumstances.