Toyota Indus Motors shuts down its plant.
The Indus Motors Company—IMC—the manufacturer of the Toyota vehicles, has taken the decision of shutting their production for the remaining days of the present month that is September, bringing a total number of NDPs—non-production days to 15 this month owing to the constant decrease in demand.
As per an official of IMC, who asked for anonymity, said that the company had already observed 8 NPDs in the month of July and 11-12 days in the month of August.
He informed that the federal excise duty—FED of 2.5-7.5percent on the different engine capacity automobiles, the ever surging prices due to rupee depreciation against the dollar and the extra custom duties on the imported parts and raw material and high-interest rates had made the prices of their vehicles out of the market.
He said that for September half of the month is off.
As per sources, the IMC plant and the nationwide dealership chain has piled up the unsold inventory of more than 3,000 vehicles. The plant is operating at a 50percent capacity in the month of September.
The sales and production of Toyota Corolla have dropped significantly to 5,308 and 3,708 units respectively in the month of July-August from 8,804 and 8,770 units in the same span last financial year, indicating a dip of 40 to 57percent respectively.
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