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Daimler India shuts bus and truckmaking unit for 3 daysDaimler said it is supporting its employees with its health programmes
Reuters
Last Updated IST
Representative Image. Credit: iStock Photo
Representative Image. Credit: iStock Photo

Daimler's Indian plant has shut its bus and truckmaking unit for three days because of parts shortages caused by lockdown restrictions across the country, a company spokesman said on Tuesday.

"Daimler India Commercial Vehicles (DICV) has declared a non-production day for June 1 'til June 3, 2021, due to temporary parts shortages caused by lockdown restrictions," the spokesman said in a statement.

The plant is the first near India's Chennai automotive manufacturing hub to order a temporary shutdown owing to a parts shortage. Global carmakers such as Ford Motor Co, Hyundai Motor Co and Renault-Nissan ordered closures last week because of worker protests over safety.

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India's factory activity growth slowed significantly in May as rising coronavirus cases curbed new orders and output while scarcity of raw materials drove up input costs, a private sector survey showed on Tuesday.

Daimler said it is supporting its employees with its health programmes, adding that it will pay workers their full salaries for the non-production period.

DICV is unit of Germany's Daimler group and manufactures and sells trucks, BharatBenz buses and Mercedes-Benz coaches in India.

The company's plant near Chennai also produces for Daimler truck brands such as FUSO, Mercedes-Benz and Freightliner, exporting to more than 60 markets around the world.

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(Published 01 June 2021, 18:29 IST)