Shares of Bajaj Auto took a knock of over 5 per cent on reports that it could take a steep production cut across its export-focussed plants next month.

The Pune-based firm saw its shares slipping by 5.45 per cent or Rs 209.90 on the BSE to Rs 3,640.75 while it sunk 5.32 per cent on the NSE to Rs 3,644.95. This selling pressure came after reports said it is expected to take a production cut of up to 25 per cent in motorcycle and three-wheeler production due to uncertainties in its biggest export market Nigeria.

A news report said the company is likely to produce around 250,000-270,000 units in March compared with an average production of 338,000 units per month for the April-December 2022 period.

The development comes after the Central Bank of Nigeria announced demonetisation in October last year. The last date to swap 200, 500, and 1000 naira notes was extended to February 20 from January 31 as the nation faced a shortage of new notes. The shortage has led to protests and disrupted businesses, thereby affecting exports to that country.

Electric two-wheelers

Yulu, a shared electric mobility player in India, and Bajaj Auto, on Monday, launched two electric two-wheelers, Miracle GR and DeX GR. Powered by Yulu’s AI-led technology stack and exclusively manufactured by Bajaj Auto, the Miracle GR & DeX GR are made in India, for the world, and are being rolled out by Chetak Technology Ltd (a 100 per cent owned subsidiary of Bajaj Auto).