After the best sales month in March, MG Motors has registered a steep decline in sales due to various factors.
MG Motors registered its best sales month in March 2021. Ever since the beginning of its India operations, MG motors has registered healthy sales figures. However, a steep decline in sales has happened in the month of April. Its sales has come down by over 50% from 5,528 units in March to just 2,565 units in April.
April 2021 figures were a massive growth from the same time in 2020 when MG Motors was not able to sell a single car due to nationwide lockdown. Recently, it has also shut down its production facilities for a week to save industrial oxygen and divert it to healthcare facilities across India. MG Motors is currently left with no stock at the Halol plant in Gujarat.
At present, waiting on MG Motor vehicles is more than three months across the product line including Hector, Gloster, ZS EV, and Hector Plus. The SUV maker reported that its production and deliveries in April were significantly higher than its sales figures.
MG Motors has confirmed that moving ahead, it is not expecting any decline in demand. However, supply chain challenges will stay due to COVID-19 restrictions in the month of May 2021. The production is also impacted by semiconductor chip shortage globally. Curfews and working hour limitations in various parts of the country may also affect production and sales.
MG Motors has recently collaborated with Vadodara-based Devnandan Gases to ramp up its oxygen production for medical usage. The move has come at a time when second wave of COVID-19 has enveloped the country with high infection and death rates.
"In these times, our efforts are directed towards keeping people safe and maximising service to the communities," MG Motor India President and Managing Director Rajeev Chaba said.
Apart from MG Motors, Maruti Suzuki and Hyundai are also supplying oxygen for healthcare services across India.
