Auto Manufacturers in India’s Auto Industry Hub Receive Green Signal to Fully Resume Business

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Car manufacturers in Tamil Nadu are receiving the green signal to operate at full capacity. The state known as the hub of the Indian auto industry is one of the hardest hit due to the pandemic. It enabled industrial activities with export commitments to resume their activities at 100% of their capacity.

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Automakers, a major player in the state’s manufacturing sector, have also received the green signal to resume capacity utilization to 100%. Thanks to this, auto brands such as Renault-Nissan, Hyundai and Ford are free to operate at their full capacity, despite workers’ safety protests during the pandemic.

A senior state government official told Reuters that any company that exports or supplies export industries will be allowed to operate at full capacity as positive cases of Covid-19 have been reduced in the state.

New positive cases in Tamil Nadu have risen from over 30,000 a day in May of this year to around 8,000. However, Tamil Nadu still has a seventh of all cases in the country. Renault-Nissan employees last month moved the Madras High Court to demand a halt to operations for the safety of workers during the pandemic.

The unions of the automakers have written letters of protest, claiming that hundreds of workers in Chennai have fallen ill with Covid-19 and that many have died. Due to the unrest and the workers’ strike, Renault-Nissan was forced to suspend its activities in the state. Ford and Hyundai also halted work at their manufacturing plants in May.

In response to that call, the Madras High Court tasked industry safety officials in June 2021 to visit factories of state automakers to develop uniform safety guidelines for the industry.



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