Hyundai Motor is increasing production of its recently launched compact car, the i20.
The company has begun working an extra hour or two daily to produce more cars.
“We are working two shifts and it may not be possible for us to add a complete shift immediately. But since last few days we have increased our production by an hour or two. This helps us to make some more cars,” Hyundai Motor’s Senior Vice-President, Mr Arvind Saxena, told Business Line.
Hyundai, which expected to sell 2,000 units of its i20 on an average on a monthly basis, received an order of 2,500 units last month. Of this, the company delivered 1,700 and the remaining will be handed over to customers this month.
Mr Saxena said that since interest rates were falling, showroom enquiries had increased. However, he also said that sales were expected to remain slightly negative or flat in the present quarter.
This week Hyundai entered into an agreement with Syndicate Bank under which the latter will offer a 0.5 percentage point lower interest rate and a 50 per cent concession on processing fees.
The Syndicate Bank said the two partners will leverage each other’s extensive network and cross-sell Hyundai’s vehicles and the bank’s car loan schemes. The bank will also finance second-hand cars, the demand for which is growing, Business Line noted.