Bajaj Chetak production resumes after rare-earth magnet shortage

    Bajaj says that supplies have normalised ahead of the festive season.

    Published On Aug 22, 2025 12:39:00 PM

    11,495 Views

    Bajaj Chetak production resumes after rare-earth magnet shortage

    Bajaj Auto has announced that production of the Chetak has resumed at full capacity, following weeks of disruption caused by a shortage of heavy rare-earth magnets sourced from China. The company has also stated that shipments to dealerships have recommenced.

    1. Bajaj recovers from rare-earth magnet shortage, resumes Chetak production
    2. The company says supplies have normalised ahead of the festive season

    Bajaj Chetak production dropped by nearly half in July 2025

    Chetak production dropped 47 percent YoY last month

    In July 2025, output of the Chetak slumped by nearly half year-on-year (YoY) to 10,824 units, as the shortage of magnets, which are critical for EV motors, began to severely affect production. At the time, Bajaj Auto’s executive director Rakesh Sharma had warned that volumes in August could fall to zero if supplies did not improve. However, the company has now averted that scenario and resumed production ahead of schedule.

    With sourcing now secured, Bajaj Auto says it has adequate supplies of magnets and other key materials to meet demand during the upcoming festive season. “Demand for the Chetak remains robust, supplies have normalised, and deliveries against bookings have commenced. We are scaling up production to meet rising demand while staying true to our standards of quality and customer delight,” said Eric Vas, president, Urbanite Business Unit, Bajaj Auto.

    The recovery comes at a crucial time for Bajaj, as rivals like TVS, Ather Energy and Hero (Vida) reported year-on-year growth in July despite similar supply chain issues. Among major OEMs, Bajaj seemed to be the most severely affected, even delaying the launch of its entry-level Chetak variant.

    For buyers, the return to full production should help reduce the waiting periods that had started to build up in recent weeks.

    Also see:

    Bajaj Chetak Premium review

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