Tata Motors today said it has decided to stop manufacturing operations in Thailand citing viability issues but would continue to sell vehicles in the country through imports.
As part of this ongoing review, the company has undertaken a reassessment of its business model in Thailand to ensure it is sustainable over the long term, Tata Motors said in a statement.
"The business as it stands today is sub-scale and not sustainable. We have hence decided to cease the current manufacturing operations in this financial year," it added.
Going forward, the company shall continue to address the Thailand market with a revamped product portfolio, suitable to local market needs, delivered through a completely built unit (CBU) distribution model, Tata Motors said.
Tata Motors is committed to the ASEAN region wherein Thailand is an important market and the company endeavours to continue serving customers as it transitions to the new operating model, it added.
"It was becoming unviable business for us. Therefore, we decided to cease manufacturing operations," Tata Motors Group CFO P Balaji said.
The company had incurred a loss of Rs 170 crore on the business last year, he added.
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)