Hyundai tops manufacturing capacity utilisation in India, GM last
Following massive investments into capacity installations and expensive marketing campaigns, automobile manufacturers in India are now looking towards the new government to improve market conditions.
A report says the average capacity utilisation of manufacturing facilities in India stands at 55%.
While all plants put together can roll out 5,138,000 cars a year at full steam, total production last fiscal stood at 2,849,000 units.
At the bottom of the list is General Motors India. With sales plunging and low demand for its vehicles, the company utilised just 28% of its facilities. With equipment set up to make 282,000 cars, only 78,426 units were made last fiscal.
GM India had, for a brief period in 2013, stopped production due to issues with the then recently-launched Chevrolet Sail, Enjoy and Sail U-VA.
Straddling the average are companies like Renault-Nissan and surprisingly, Honda Cars India. With commencement of production at Tapukara, Honda's tally is tilted towards one side.
India's largest exporter however is also enjoying almost complete capacity utilisation. At 91%, Hyundai Motor India has topped the list.
Hyundai has consistently maintained a ratio between its export and domestic production. In 2012, it sold 391,000 units in India while exporting 250,000 units. With sales in 2013 dropping marginally to 380,000 units, exports subsequently went up to 253,000 units.
Another serial exporter, Ford India, used 67% of its Chennai facility. It recently announced a third shift will be started to up production of the Ford EcoSport.