Pak Suzuki suspends production due to low inventory amid steep fall in sales
Business
Company is facing same problem since last year
KARACHI (Web Desk) – The Pak Suzuki Motor Company (PSMC) decided to suspend operations the motorcycle and four-wheeler plants from June 22 to July 8 as it faces a shortage of parts and accessories because of a mechanism introduced by the State Bank of Pakistan.
Previously, the PSMC had extended the shutdown of its motorcycle plant till June 16 for the reason stated above after closing the factory on May 22 until June 10.
And on Monday, the PSMC in a latest move again informed the Pakistan Stock Exchange that the prior approval required for importing completely knocked-down kits had adversely affected the clearance of consignments, thus affecting inventory levels.
It is a repetition of what had happened last year when the company kept its four-wheeler plant shut for over 75 days from August 2022 till June 19.
Like its competitors, the record-high inflation and the resultant reduced purchasing power means that the sale of Pak Suzuki products witnessed a 54 percent fall to 62,354 units during the first 11 months of the current fiscal year against 134,270 units in the same period in 2021-22.
