Bajaj Auto's EV Output Slumps 50% in July

Co turns to light magnets to recover from dip caused by rare earths crisis

- Ayaan Kartik

Bajaj Auto Ltd is using light rare earth magnets as an alternative to get production of electric 2- and 3-wheelers back on track, as manufacturing suffered in June and July due to a shortage of heavy rare earth magnets fuelled by China's curbs on exports.

The management said on Wednesday that Bajaj's production of EV 2-wheelers will be 60% of the earlier planned output for the months of August and September, while 3-wheelers will see 75% of the planned output in the same period.

"Our production impairment started in June due to which our sales were also hit in Q1. Production was hit up to 50% in July," Rakesh Sharma, executive director at Bajaj Auto Ltd, said at a media interaction after the release of April-June quarter results on Wednesday.