Auto makers may extend production cuts in the wake of the severity of global financial crisis and slowdown in the coming times. Both commercial and passenger vehicle segments reported decline in the month of November and auto sector growth rate may further decline as per reports.

Meanwhile, leading car maker, Maruti Suzuki India Limited (MSIL) said that it may cut production till the improvement in demand. Maruti MD, Shinzo Nakanishi said that the global situation may force the company to take hard decisions. Mr. Nakanishi added, "We are focusing on the network stock. If the network stock overflows, then we will have to readjust our productions."

He added, "Going forward, if sales fall further, the production adjustment could be around 5-7%." The company reported 24.8 per cent decline in the passenger car segment, producing 43,258 units as compared to 57,554 units in the same period last year.

Maruti cut production by 6.3 per cent in November due to low demand in the auto sector. The company has already announced to shut Manesar and Gurgaon plant from December 27 to January 5 and December 24 to January 5 respectively. The company would utilize the time for maintenance and assembly line up gradation.