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Coronavirus What is the impact on the Chinese automotive industry?

a novel coronavirus infection in Wuhan, China began to affect not only the New Year, the Chinese influence people’s normal production and life, are also affecting the automotive industry, after all, China is the world’s largest automobile producer and consumer.

because of any carmaker in China has a large number of foreign workers, but with the outbreak of the epidemic, many countries have begun to evacuate expatriate staff in China.

Second, automobile production is certainly affected, and therefore many factories shut down or delayed start.

Third, China’s production of automotive components supply the global market, due to the stagnation of production, so the production cars will probably be affected.

evacuees

Ford, Renault, Toyota, which several foreign auto parts company personnel have been evacuated after another, returned to their homeland. In fact, we can understand their behavior, after all factories have stopped, they stay in China is not something to do. With the epidemic under control, they will return to China.

Since Renault has plants in Wuhan and is therefore more sensitive PSA Group, has expanded its staff and family members in Wuhan withdrawal of France. Volkswagen’s Office employee is ordered to work from home.

In addition to Hyundai Motor evacuate employees and their families outside, but also limit the number of Koreans living in China, has returned to Korea for medical examination of personnel.

to close the plant, deferred start

Since the New Year, car manufacturers have a holiday, but due to the outbreak the reason, many companies delayed start. And the law will be the Spring Festival (January 24 to 26) extended to the results of February 2. Specifically, the Renault plant in Wuhan will be closed to No. 8 February, Tianjin Toyota will be closed until February 9, the Ford plant in Chongqing will be close to the number 10 February.

However, because during the epidemic, no one would go to buy a car, but most cars 4S stores have stock, so do not delay and start the market much impact.

Bosch shutdown, the impact of market supply

domestic market better, said China’s epidemic of auto parts parts market has brought no small impact. For example, the Bosch Group, Polkma Denner, president of the Bosch Group, at a recent press conference, said China’s epidemic will affect Bosch delayed supply of spare parts. If this situation continues, Bosch will be difficult to provide auto parts to major markets.

It is reported that Bosch in 60 regions of China, has 23 factories last year, the Asia-Pacific region sales of up to 25.4 billion euros, of which sales in China reached 10 billion euros.

battery industry LG

China’s largest car battery manufacturer Ningde era, but South Korea’s LG in China’s new energy automotive battery industry is also an important proportion. China to set up factories LG Chem and SK Innovation, is also busy banning all business travel to China, South Korea and the withdrawal of technical experts in China.

As of press time (2020, January 31) virus is still spreading in China, deaths and confirmed cases is increasing. According to China National Health Data Committee, confirmed 9720 cases, 213 cases of death. Finally, we hope the outbreak can be ended as soon as possible, to restore the normal order of the national economy in the past.

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