Pierer Mobility, parent of the KTM, Husqvarna and GasGas brands, is to stop production at its Mattighofen plant in Austria owing to the Covid-19 pandemic.
In a statement, the company says the decision to cease operations temporarily, initially from 30 March to 10 April, has been triggered by risk of its supply chain from northern Italy failing: “Many suppliers are located in this region, which is badly affected by the coronavirus. With this measure, KTM avoids a possible uncontrolled business interruption.”
According to Pierer, some of the factory’s summer holiday shutdown will be used to stabilise the supply chain in the long term, and worldwide distribution of bikes and spares won’t be affected. Availability of all models is guaranteed for the upcoming start of the season across its global dealer network. However, previously published investor guidance for the 2020 financial year has been cancelled, because development of the crisis requires a daily reassessment of the situation.