Tata Motors, the
country's leading automobile company, will halt production at its block in Jamshedpur for three days from Thursday, following poor demand.
The Jamshedpur plant of the
company produces heavy commercial vehicles, besides engine and, cab and cowl.
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 slowdown.
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.
"We do not want inventory pile-up at the dealers' end and wanted to adjust our production as per demand," a company spokesman said, adding that the block closure had been planned keeping in mind the weak demand of commercial vehicles.
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 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.
with inputs from PTI