TVS Motor Company has addressed the issue of semiconductor chip shortage by tapping another source, a senior official said.
During the first quarter of FY23, TVSM suffered a slight loss in terms of Apache and Raider deliveries due to chip shortages, the official said.
“But because of our team, we were able to develop one [sources] and now the Rider is back in full force. Apache is back in full swing. I don’t think there will be any problems in the season. Now, this month and next month, you will see very well [sales] numbers,” said KN Radhakrishnan, Director and CEO during the analyst call.
These numbers may increase. TVSM is not in a hurry, he said adding “Unlike my competitors, I am not giving up. I don’t want to save [with] any of my sellers more than 25 days of stock. If you keep stock for 75 days, customers will not receive new stock. “
Stating that semiconductor companies have come forward to help them, he said this will lead to the sale of 10,000 units of the TVS Qube electric car every month.
Currently, the company has received around 25,000 bookings for the TVS Qube but has the capacity to produce only 10,000 units per month. It plans to increase the number month-on-month to 25,000.
On EVs, he said they are moving more people in the digital direction. “Basically, we’re trying to move more people from ICE to EV, train them, get them working on the EV side,” he said.
Explaining that they have installed many EV products in the next 8-12 quarters, he said: “With the Internal Market Engine (ICE), we know what to do, which products, which interventions and which markets will continue. But we will invest more even more so on the EV side.”
On the newly launched bike Ronin, he said they are now targeting 5,000 bookings this month.