On Monday, a senior official at India’s largest carmaker Maruti Suzuki India Ltd (MRTI.NS), predicted a second-quarter chip shortage recovery.
The CEO predicted the April production deficit would persist in the June quarter.
“Chip shortage will continue in Q1 but we are expecting some recovery in Q2, although visibility on semiconductor supply remains limited,” Shashank Srivastava, senior executive of marketing and sales, said on a teleconference.
Since the COVID-19 pandemic, automakers have faced semiconductor shortages and higher raw material prices.
In an exchange report, Maruti stated April sales jumped 6.5% to 160,529 units. However, the company raised prices across models in April due to high inflation and new emission standards.
Srivastava noted that SUVs had outsold sedans in the company’s sales.
In the fiscal year 2022-23, SUVs comprised more than half of India’s record 4 million passenger car sales, indicating rising demand in a budget-conscious market.
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