Maruti's loss is Tata Motors, GM's gain this Diwali

The timing of the Maruti strike could not be worse.Maruti may lose out this festive season as it continues to grapple with labour unrest and lower production, while car makers like Tata Motors, GM and Volkswagen are ramping up capacity to make the most of the festive season and Maruti’s troubles.

Maruti Suzuki’s ongoing workers’ strike entered its 14 th day today as marathon talks by the Haryana government between the management and striking workers at Maruti Suzuki India’s (MSI) Manesar plant still continue. The strike continued to plague its operations with only 1,850 cars produced at its twin Gurgaon-Manesar plants yesterday that normally rolls out over 4,000 cars daily.

The worker agitation has not done Maruti any favours, and from the point of view of Maruti, workers have practically chosen the worst time to protest.

Tata Motors has ramped up production of the diesel variants of its Indica and Indigo from 14,000 units to 20,000 units per month reports CNN IBN .

Similarly, GM has ramped up production of its diesel beat to 4,500-5,000 units per month. Volkswagen has increased production of its Polo and Vento diesel to 10,000 units per month from the usual 5,000 units a month.

Not to be left behind, Hyundai has upped its i-20 diesel production to 6,000 units a month and Ford Figo diesel production has gone up to 10,000 units a month.

This could mean a big blow for Maruti especially considering the new Swift has an order backlog of over 1 lakh cars, and most Maruti models come with an 8-month waiting period.

Diesel car production has taken a severe hit, and the car-maker could take a big hit during what is traditionally the best time of the year - the festive season. However, it will not be able to do so as other car-makers are ‘making hay while the sun shines’ and ramping up their production, especially of diesel cars. CNN IBN reports that vendors have been given a new revised schedule that turns an increasing waiting period for a Maruti Swift, Swift Dzire and SX4 to their benefit.

Not only will Maruti have to make up for lost time, it will have to do something extraordinary to try to take the lead once again.

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