NEW DELHI: Owing to weak demand and outlook for the industry, commercial vehicle (CV) maker Ashok Leyland will close its manufacturing plant in Pantnagar, Uttarakhand, for nine days, from July 16 to July 24.
The plant, which can manufacture 1.5 lakh units annually, was closed intermittently for around seven days between June 17 and June 29.
Ashok Leyland joins the league of other auto manufacturers who, in recent times, have cut down production amid sluggish demand. According to Siam, domestic CV sales registered a decline of 9.53 per cent in April-June 2019 as compared to the same period last year.
Medium & Heavy Commercial Vehicles (M&HCVs) declined by 16.60 per cent and Light Commercial Vehicles declined by 5.06 per cent in April-June 2019 over the same period last year.
Revised truck axle norms and a liquidity crunch at NBFC are among the reasons which impacted sales.