Bajaj Auto halts Chetak bookings within 48 hrs, cites supply issues

Bajaj's maiden electric scooter, which went on sale in Jan 2020, hasn't been able to align production with demand due to Covid-induced supply chain disruptions and shortage of semiconductors

Forty eight hours after it re-opened bookings for the Chetak, Bajaj Auto had to cease accepting fresh orders due to the continuing supply chain disruptions, the company said in a statement on Friday. Bajaj’s maiden electric scooter, which went on sale in January 2020, hasn’t been able to align production to demand owing to supply chain disruptions caused by Covid-19 and shortage of semiconductors. Even after more than a year of launch, it only sells in Bengaluru and Pune. Due to the shortage of semiconductors, December 2020 turned out to be a zero-production month, forcing the company to defer by six months the plans for a ramp-up.  

After halting bookings last year, Bajaj started accepting orders for the scooter at 9 am on April 13 and customers were able to book Chetak online on a first come first serve basis, the company said in a statement. “A large number of confirmed orders were placed by customers requiring the company to cease acceptance of bookings within 48 hours,” it said adding that it would review the supply situation and announce the next round of booking.

“We are absolutely delighted to see the fabulous response to the re-opening of bookings for the Chetak electric scooter in Pune and Bengaluru. Covid-led disruptions last year resulted in an unintended and long waiting period but despite that we have seen very few cancellations of bookings,” Rakesh Sharma, Executive Director at Bajaj Auto.

While Bajaj Auto is conscious of the interest among the customers to own the scooter, he said.  The company had to take the “difficult decision” of closing the bookings in view of continuing supply chain uncertainties, said Sharma.  “It is our endeavor to resolve the supply chain issues at the earliest, re-open bookings as well as roll into more cities within the next quarter,” he said.