Although the country’s leading car company Maruti Suzuki India (MSI) is trying to buy electronics components from multiple sources, the challenges of the supply side still remain. A senior official of the company has said this.
The company had lost production of around 1.7 lakh units in the last financial year due to semiconductor shortage. The company is also trying to reduce the use of certain types of chips in its cars.
Rahul Bharti, executive officer (corporate affairs), Maruti Suzuki India, said in the analyst call, “Chip shortage is a global problem. It is affecting different models, different companies, different modules in different ways. All our efforts are on streamlining supplies from multiple sources.
He said that the company is trying to reduce the chip requirement in some models/trims.
“If a semiconductor is not required very much in a version of a model, we try to remove it. This will reduce our consumption of semiconductor. Apart from talks at the global level, we are making all kinds of efforts. However, despite this, supply side problems persist.
When asked about the company’s position in the current financial year, he said, “We do not have an outlook for the full year, but at least the first quarter will be difficult and there will be a lot of uncertainty.”
Semiconductors are silicon chips used for control and ‘memory’ in various other electronic products, from vehicles, computers and cellphones.
The introduction of features such as Bluetooth connectivity and driver-assist has increased the use of semiconductors in the automotive industry globally.
In response to a question, Bharti said that the strong hybrid technology introduced in the Grand Vitara can be used in many other models. He said, “We have received a lot of positive feedback regarding this. We want to bring it in more models.