Toyota Indus Motor Company (IMC) continues to face operational hiccups, forcing it to announce another series of non-production days (NPDs) in May.
In an official notice to the Pakistan Stock Exchange (PSX), the company cited inventory shortage as a reason for the car assembly plant shutdown, which will take place from May 2 to May 3, 2023.
The notification is as follows:
Earlier this month, Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM) sent out a distress call to Federal Finance Minister Ishaq Dar, requesting the urgent removal of the car assembly kits and auto parts imports from the “non-essential items” list.
PAAPAM Chairman Munir Bana informed the minister that the association members, directly and indirectly, employ over 3 million Pakistani workers, technicians, engineers, and management professionals on various projects. He stated that those workers are now facing layoffs as the sector risks closure.
PAPAAM’s letter to the finance minister reads:
Unless immediate counter measures are taken to save the “mother of all industries”, a massive tragedy would unfold, as the entire auto parts industry would shut down permanently, leading to losses of millions of jobs, rollback of localisation and repatriation of foreign investments by all the automotive assemblers.
Given that Pakistan’s economy is still highly volatile, the auto industry’s struggle will likely continue for the foreseeable future.