After Honda Atlas, Pak Suzuki has extended its production shutdown, but it is for the bike plant. Carmakers in the country are facing operational problems in the face of closed letter of credits (LCs). It’s been months, the State Bank of Pakistan (SBP) inflicted import curbs which in turn are shattering the automakers.
In a recent notification, Pakistan Suzuki Motor Company (PSMC) has informed the Pakistan Stock Exchange (PSX) regarding the extension of bikes plant for two more weeks, till April 28, 2023.
The notification reads:
“Due to the shortage of inventory level as notified vide our letter dated April 04, 2023, the management of the company has decided to extend the shutdown period of its motorcycle plant till April 28, 2023. Further update, if any, in this regard will be communicated accordingly.”
Previous Shutdown Series
Earlier, the production was also halted from March 20 to 31, which was further extended from April 4 to 15. And, Pak Suzuki’s recent circular narrates a new shutdown starting from April 16 to 28. Meaning, PSMC has not produced even a single bike for over a month.
Honda Atlas’ Shutdown
In a recent notification, Honda Atlas has prolonged its production shutdown to more 15 days, from April 16, 2023 to April 30, 2023.
The notification reads:
“Further to our letter dated March 31, 2023, and considering the current economic situation of Pakistan whereby the Government resorted to stringent measures including restricting opening of LCs for import of CKD kits, raw material and halting foreign payments, the company supply chain has also been severely disrupted by such measures.
As a result, the company is not in a position to continue with its production and ultimately has continued to shut down its plant.”
What do you think about the ongoing shutdown series? Drop your thoughts in the comments section.
