Hero MotoCorp, the country's largest two-wheeler manufacturer, on Friday said that their manufacturing facilities will be closed for four days (August 15 to 18) owing to "demand scenario".
Hero MotoCorp indicated it is undergoing a stressful period as it said: "While this has been part of the annual holiday calendar on account of Independence Day, Raksha Bandhan and the weekend, it also partly reflects the prevailing market demand scenario."
The auto sector is one of the worst-hit sectors in India due to the lack of consumption. The sectors have seen a massive loss of jobs in just the last few quarters.
Moreover, industry data recently showed that sales across all segments have declined for 9 consecutive months, creating recession like the scenario in the sector.
Hero MotoCorp is not the first automaker to shut manufacturing. Earlier Tata Motors, Ashok Leyland and few others made such announcements.
The company further said that production planning is a matter of advance monitoring of the market dynamics and prudent demand forecasting.
"This helps us to plan our production well in advance, thereby enabling us to stay flexible both in terms of volumes and production schedules, " the company said in a regulatory filing.