Covid-19 impact: MG Motor latest carmaker to halt work, shuts down Halol plant

MG Motor in India has decided to shut down its facility in Halol, Gujarat amid the rising cases of Covid-19 across the country. The carmaker has confirmed today that the plant will remain shut for at least seven days, starting from April 29 to May 5.

Rajeev Chaba, President and Managing Director at MG Motor India, confirmed that the car manufacturer will hit the pause button in its effort to 'break the chain of Covid'. He took to social media to announce the decision. Chaba wrote, "We have decided to close our plant in Halol@ Vadodra for 7 days to break the chain of Covid. And our employees are committing to stay safe AND take care of community in these harsh times. May there be more force with us!"

MG Motor manufactures its popular offerings in India - the Hector, Hector Plus, Gloster and ZS EVs - from this plant. The carmaker had planned to invest ₹1,500 crore to expand the facility to meet rising demand as well as provide localisation. MG had taken over the facility from General Motors, which had decided to stop using the facility back in 2017. The facility currently has a capacity to produce around 80,000 vehicles every year.

The company had recently announced that it has joined hands with Moksi-based Devnandan Gases to ramp up the production of medical oxygen in its effort to help minimise the crisis faced across the country. MG had also announced that it will provide vaccination for its employees working at the facility.

MG Motor becomes the third carmaker in less than a week to decide shutting of operations amid the rising spate Covid-19 cases. Recently, Hero MotoCorp and Toyota Kirloskar Motor also announced similar moves amid the ongoing crisis.