Pak Suzuki Motor Company (PSX: PSMC), the largest automaker in Pakistan, has decided to temporarily halt operations at its motorcycle plant for three days. The company informed the Pakistan Stock Exchange of this decision on September 19, 2023.
The shutdown, which is scheduled from September 20 to September 22, 2023, is due to a shortage of inventory levels. However, the automobile plant will continue its operations as usual. Any further updates regarding this matter will be communicated accordingly, as stated in the company’s filing.
This is not the first time that Pak Suzuki has had to pause production. Throughout 2023, the Japanese automaker has announced several shutdowns. In August, the company initially planned to keep its motorcycle plant closed from August 18 till August 31.
However, the shutdown was extended twice, first till September 12 and then till September 15. Similar announcements were also made in July, June, and May, with reasons such as low inventory levels or a lack of raw material being cited.
These intermittent production pauses have led to a significant decline in sales and revenue for Pak Suzuki. Since 2022, industry players have expressed concern about difficulties in obtaining import permits for their production quotas, which has further impacted the company’s operations.
This series of shutdowns reflects the challenges faced by the automotive industry in Pakistan, particularly in terms of supply chain management and import regulations. As the situation unfolds, stakeholders and consumers alike will be keenly watching for any further developments.