Royal Enfield Production Halted at Chennai Due to Floods

Published On Dec 4, 2015 12:00 AM By Garvit Narang

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As confirmed by Royal Enfield, its production at the Chennai plant has been disrupted due to the ongoing floods and its offices in the city are also closed. The company also lost production of 4,000 motorcycles last month due to heavy rains in the region. Other than RE, automobile companies like Hyundai, Ford, Renault and Apollo Tyres have also put a halt to their production work. Due to these rains, the Indian automotive market will face a heavy loss of around Rs. 1200 to 1500 crores this week as 25% of total Indian production comes from Chennai and surrounding areas.

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Talking about the issue, Royal Enfield spokesperson said in a statement, "The unprecedented rainfall in Chennai has severely affected the city, including our employees, our manufacturing facilities and offices. The floods caused by the rain have also impacted logistics and our supply-chain, resulting in disruption of our production. As a consequence, we have shut down our offices in the city and our plants in Thiruvottiyur and Oragadam since December 1." He added, "We are working to ensure that all our employees are safe. We are monitoring the situation closely and hoping for normalcy to return soon."

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