Chennai Floods! Royal Enfield to work full capacity by next week

We have had production loss of 7200 motorcycles due to the closure of both our manufacturing facilities between December 1- 6, 2015, said an official statement of Royal Enfield

The unprecedented rainfall in Chennai had severely affected the city and halted production in many auto companies including Royal Enfield's employees, their manufacturing facilities and offices. Now, since two days that the rains have stopped and the water has started receding, the companies are trying to come back on track. 

In this context, Royal Enfield has issued an official statement saying, “Due to heavy rains and flooding in Chennai, both of Royal Enfield's production facilities in Thiruvottiyur and Oragadam were shut since the 1st of December 2015. We resumed production of motorcycles on December 7, 2015. However, due to a high rate of absenteeism by our employees, and issues with our local suppliers - we will be running at approximately 50% capacity this week, and plan to be back up to 100% capacity by next week.

Prima facie, there is no damage to equipment or property and all our employees are safe and secure. We have had production loss of 7200 motorcycles due to the closure of both our manufacturing facilities between December 1- 6, 2015. Many parts of the supply chain still continue to be affected due to the aftermath of floods.

Due to the rains, in November we lost production of 4000 motorcycles.

We continue to monitor the situation closely and work in the best interest of all our stakeholders. We would be able to assess the insurance loss in due course, once the full normalcy is restored."