Tata Cummins, a 50:50 joint venture between Tata Motors and US-based Cummins, has decided to take an eight-day block closure of its plant in Jamshedpur between December 24 and January 1. The plant supplies engines for most of the M&HCV models Tata Motors produces in Jamshedpur. Since December 29 is Sunday, which is a weekly-off day, the plant would reopen on January 2.
Tata Cummins Workers’ Union (TCWU) sources speaking to FE on Friday said that for the company, which manufactures diesel engines of horsepower between 100 hp and 380 hp, it would the fourth block closure in the current fiscal.
Weak demand for M&HCVs has affected Tata Cummins, too, as around 80% of its production is for Tata Motors while the balance 20%, comprising mainly genset engines, goes to Cummins India.
A TCWU official, preferring anonymity, said that the outlook ahead for M&HCVs in the country seemed “quite bleak” with improvement now being expected only in the third quarter of 2014. “We have a maximum 18-day block closure agreement with the management, of which 10 days have already been taken away by the earlier three block closures and with this eight-day period the entire 18 days would be exhausted,” the official said.