Hero Electric, the country’s biggest electric vehicle manufacturer by sales, has announced that they have not even dispatched a single electric vehicle in the month of April. The company has attributed this shocking statistic to the extreme shortage of semiconductors in the country.
According to PTI, the company is facing an acute shortage of chipsets as well as supply chain restrictions. Hero Electric also highlighted that this issue is not limited to just their company. Other automobile brands in the country are also facing a similar plight. The ongoing global chip shortage has led to many automobile companies either reducing their output drastically or even putting a stop to production entirely.
Impact on customers
There is a direct impact on the customers who have booked Hero Electric two-wheelers. The waiting period may go up to over 60 days. The situation is so dire that some dealerships don’t even have vehicle to display at their outlet.
Hero Electric CEO, Sohinder Gill likened the situation to fast-moving train that had to apply an emergency brake. He claimed that the company has been almost doubling its sale month-on-month. The company had been managing to meet the demand so far. However, the Russo-Ukrainian war has forced them to come to a halt. Gill claims that there has been major supply chain description due to the war.
Situation Going Forward
The situation is not all-bleak. The company has located alternate sources and are expecting to resume production very soon. They also plan to enhance the production capacity of their facilities.
Additionally, in view of the recent fire incidents, Hero Electric will also be revisiting their system and processes for battery safety and to ensure better quality.
Multiple new EV companies are under the scanner for major fire accidents, some of which have even claimed lives. Three companies have even decided to conduct a voluntary recall after their vehicles caught fire without any visible signs of external stimulus. Ola Electric, Okinawa Autotech and Pure EV have collectively recalled almost 7000 scooters in India.
The Indian govt is also stepping up its vigil. Union Minister Nitin Gadkari expressed grave concern for the growing incidents of fire. He even went on to announce that any companies found at fault for these accidents will be penalised.
Hero Electric, the country’s biggest electric vehicle manufacturer by sales, has announced that they have not even dispatched a single electric vehicle in the month of April. The company has attributed this shocking statistic to the extreme shortage of semiconductors in the country. The company also highlighted that this issue is