Maruti to stop production due to strike

India’s top car makers Maruti Suzuki will cease production tomorrow due to unrest at its Suzukii-owned engine supplier, foreign media reports said as an 18 day long standoff with striking workers brings its factories to a halt.

Production at Maruti's Manesar factory, where it makes its popular Swift model, has been severely hit since workers walked out on August 29 after the firm demanded they sign a discipline agreement, claiming some had engaged in sabotage.

The company will close its two factories tomorrow after the unrest spreads to Suzuki Powertrain, 70% owned by Suzuki, which supplies around 300,000 diesel engines a year to the car maker from its India plant.

"Following the strike at its vendor, Suzuki Powertrain India Limited, supply of certain critical components to Maruti Suzuki's facilities has been disrupted," Maruti said in a statement a while ago. (Reuters)