Chennai rains hit auto companies badly, production halted

The deluge in Chennai and its surrounding regions has hit production of Hyundai, Renault-Nissan and Ford. The companies have temporarily suspended operations for the second time in less than a month, as parts of the city are flooded due to the unprecedented rains.

Hyundai officials have confirmed to PTI that the previous three shifts were suspended and they are closely monitoring the situation to take a call on resuming operations. Ford India too issued a statement confirming shutdown of production yesterday at both the assembly line and the engine plant.

At the other end of the town, Nissan-Renault plant is also not operating citing the safety of its employees. Renault India CEO, Sumit Sawhney, said, "Today we are not operating at the plant. The safety of our employees is paramount. We are monitoring the situation closely and resumption of operations will depend entirely on the weather improving."

The calamity is bound to hit sales of all the affected manufacturers. The Renault Kwid, for example, already has a large waiting period and any stop in production is going to further affect the delivery schedule. Hyundai will be facing a similar dilemma with the Creta compact SUV and the Elite i20 hatchback. 

Image: NDTV