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Rediff.com  » Business » Tata Motors to undertake 3 block closures at Jamshedpur plant

Tata Motors to undertake 3 block closures at Jamshedpur plant

Last updated on: November 29, 2012 13:45 IST

Tata Motors to undertake 3 block closures at Jamshedpur plant

The country's leading automobile company Tata Motors will halt production at its block here for three days from today, following poor demand.

Confirming the development, a Tata Motors spokesperson said the block closure had been planned keeping in mind the weak demand of commercial vehicles.

"We do not want inventory pile-up at the dealers' end and wanted to adjust our production as per demand," a company spokesman said.

Chandrabhan Singh, general secretary of Telco Workers Union, said the block closure was undertaken as a precautionary as well as cost control measure in view of slump in demand caused by the prevailing slow-down.

The company had produced 5,000 units of vehicles last month against general production figure of 10,000 units per month, Singh said.

He said no production had taken place after November 26.

This was the third block closure undertaken by the company this year including the three-day closure observed early this month from November 12-14.

The Jamshedpur plant of the company produces heavy commercial vehicles, besides engine and, cab and cowl.

The demand for commercial vehicles in the country, especially that of the medium and heavy segment, has been on a decline in the past few months.




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