Indus Motor Company (IMC), the assembler of Toyota vehicles in Pakistan, has once again announced that it will shut production citing raw material and component shortages. This time production will be suspended from July 21 to August 3.
The automaker shared the development in its notice to the Pakistan Stock Exchange (PSX) on Thursday.
“The company and its vendors continue to face hurdles on import of raw materials and receiving clearance of their consignments, on account of challenges in opening of LCs and supply issues by certain foreign vendors,” the company said in the PSX statement.
“This has disrupted the supply chain of the company and the vendors are unable to supply raw materials and components to the company,” it added.
“Accordingly, the company has insufficient inventory levels to maintain production, therefore the company is unable to continue its production activities.
“In view of the above, the company has decided to completely shut down its production plant from July 21, 2023 to August 3, 2023 (both days inclusive),” it added.
This is Indus Motor’s sixth announcement of production closure this year. Earlier, the company announced a complete shutdown of its plant last month from June 26-27.
The country’s auto sector, hugely dependent on imports, has been hit hard by the government’s decision to curb imports and restrict issuance of LCs. Additionally, higher finance cost and massive increase in car prices have also reduced demand from consumers.
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