Karachi: Indus Motor Company Limited (INDU), assembler and seller of Toyota-brand vehicles has once again decided to shut production from March 24 to March 27, citing raw material and component shortages.

Automaker shared development in notice to Pakistan Stock Exchange (PSX).

Indus Motor said that company and its vendors continue to face hurdles on import of raw materials and receiving clearance for their consignments from commercial banks, on account of difficulties in opening Letters of Credit (LCs) for raw materials by banks.

“This has disrupted the supply chain of company and its vendors are unable to supply raw materials and components to company. Accordingly, company has insufficient inventory levels to maintain production, therefore company is unable to continue its production activities,” read notice.

Last month, it offered full refund with interest to its customers due to production dip expected in February and March. CEO Ali Asghar Jamali, while acknowledging tough time for local auto industry, had said back then that restrictions on CKD kits as one of major issues impacting auto sector, causing manufacturers to only operate at 40-45 percent of their capacity

Published in The Daily National Courier, March, 25 2023

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