As the Indian market for trucks slumps amid declining industrial activity, Tata has announced reductions to commercial vehicle production as part of efforts to trim inventory.

It will shut commercial vehicle production at its Pune and Lucknow factories for six days this month. Component supplier sources said that other companies were also slowing down production, which include utility vehicle major Mahindra and Mahindra (M&M).

Unavailability of finance coupled with high interest rates is forcing customers to postpone purchases, the company said. Sales of trucks and buses in India slumped nearly 36% in October.

Tata has been hit particularly hard in its commercial vehicle sales on the domestic market – down 29% to 19,154 units in October.