New Delhi: Honda Cars India Ltd. on Wednesday announced the formal closure of two Greater Noida Plants. With the closure of this factory, HCIL’s production of CR-V and CIVIC models in the country has also stopped. Both these models were produced in this factory. Let us tell you that the closure of this factory has created job insecurity for thousands of people. The company said that the decision to stop production at the plant that came into existence in 1997 is part of an effort to reorganize manufacturing activities.
The factory was established in 1995
In the year 1995, a Honda Cars plant was established in Greater Noida. Production of cars started here in the year 1997. Most models including Honda City, CR-V, Honda Civic were manufactured here. There were about 440 daily cars and about one lakh cars made in the year. More than 900 employees were working in the company.
Research and research work will continue
HCIL said in a statement, “To make the operations sustainable by leveraging the capability of production and supply chain, the company has strengthened manufacturing activities for vehicles and components with immediate effect in Tapukada, Rajasthan, on domestic sales and exports.” Has been decided. ‘The statement said that the main office functions, vehicles, R&D centers in the country for two-wheelers and spare parts (including warehouses) will continue to operate as before Greater Noida. .
Why did the factories close
The Chairman of HCIL stated that despite the sales growth for the last three months, the current market situation for the industry as a whole remains uncertain. Due to Corona, there was a significant decline in car sales. The staff committee member said that there were 906 employees in the company. Between January 27 and February 17, 278 employees were given VRS.
Sources said that at present the company will depend on the Tapukda plant in Rajasthan for its entire vehicle range. Earlier this year, Honda Cars introduced the VRS for the people associated with this plant, so that the productivity and capacity of the plant could be increased. The Tapukra plant has a capacity of 1.8 lakh vehicles annually. Apart from this, the installed production capacity of the Greater Noida plant is one lakh units per annum. On the other hand, the capacity of the Tapura factory is 1.8 lakh units per annum. This Rajasthan based factory employs about 5,500 employees.
