India’s auto parts makers warn of 1m job cuts
India’s auto parts industry could be forced to slash a fifth of its 5 million or so workforce if the slowdown in vehicle sales continues, the president of the country’s largest industry group for auto parts makers said.
India’s auto industry is in the middle of one of its worst slumps. Passenger vehicle sales fell 18.4 percent in the first quarter, and monthly passenger vehicle sales in June fell by the biggest margin in 18 years.
The slump has prompted automakers to cut production and automakers and parts makers to cut jobs.
The drop in production “has led to a crisis like situation in the auto component sector,” Ram Venkataramani, president of the Automotive Component Manufacturers Association of India (ACMA), said in a statement late on Wednesday.
“If the trend continues, an estimated
1 million people could be laid-off.”
Comments