The resumption of work and production in the auto industry continues to advance, and the auto parts sector soars
Affected by the news of the gradual resumption of work by auto companies, the A-share auto sector opened up, and the auto parts sector rose sharply throughout the day. Or rise more than 10%.
Since mid-March, due to market concerns about the disruption of production and sales due to the epidemic, the stock prices of some auto parts companies have fallen by more than 20%. Previously, the market expected that the impact of the epidemic on supply and demand would last for two months. Shanghai's auto industry began to gradually resume production in April. exceeded market expectations.
The agency believes that, fundamentally, the large-scale shutdown of the auto industry chain caused by the current epidemic is gradually showing a marginal improvement trend. Although it is difficult to clarify the specific time node for a complete return to normal in the short term, the current sentiment in the auto sector may have bottomed out , the recovery trend remains to be seen.
Since March, many automakers and parts suppliers in Shanghai have successively announced shutdowns and production cuts due to the impact of the epidemic, and the auto industry once pressed the "pause button". However, as many ministries and commissions voiced their voices to ensure supply and transportation, enterprises in the automobile industry chain have begun to gradually resume work and production.
Beginning on April 18, SAIC Passenger Vehicle, SAIC Volkswagen, SAIC GM, Huayu Automobile, Anji Logistics and other vehicle, parts and logistics companies under SAIC Motor will focus on personnel protection, supply chain protection, logistics protection, closed production In areas such as management and epidemic prevention measures, stress tests for resumption of work and production have been initiated. In the future, SAIC Motor will formulate a further dynamic plan for resumption of work and production, taking into account the situation of the epidemic situation and stress test results.
According to the latest news, Tesla's Shanghai factory is preparing to resume production on April 18 after three weeks of suspension. After resuming work, Tesla plans to initially start with one shift and gradually increase it. People familiar with the matter also pointed out that the plan may still change according to the development of the epidemic.
Changchun's auto industry is recovering at a faster pace. At present, the five major OEMs of FAW Group in Changchun have all resumed work. Among them, FAW-Hongqi Ulsan Plant, FAW-Volkswagen, and FAW-Toyota have completed the production of complete vehicles, and FAW Pentium and FAW Jiefang have completed production line debugging and started production on the 17th; 276 parts suppliers, 25,117 people have returned to work.
It is worth noting that some enterprises implemented closed-loop production during the period of closed management to make up for the loss of production capacity. According to previous reports by Jiemian News, SAIC Volkswagen’s MEB plant and the Second Automobile Plant remained closed production during the quiet management period in Anting Town, with about 2,000 workers and related parties involved.
Zhiji Automobile, whose production base is in Lingang, Shanghai, will start delivering its first model, the Zhiji L7, in May. At present, 12 front-line employees form a production and supply "commando team" and are stationed in the factory to ensure delivery. At the same time, team members hold supply guarantee meetings twice a day with the procurement and supply chain teams at the headquarters through remote connections. Except for the delay of about 2 weeks in the test drive due to logistics reasons, the overall work efficiency and progress of Zhiji Automobile are normal.
Vitesco Technology, which produces integrated electric drive systems, told Jiemian News that the factory is still in closed-loop production in an orderly manner. "The factory always puts the safety of employees first, adopts all-round epidemic prevention measures, prepares emergency plans, and provides physical and mental counseling for employees." Vitesco Technology's customers include Hyundai, Great Wall, Dongfeng and Renault.
Zhang Junyi, managing partner of Oliver Wyman Consulting, revealed to Jiemian News that it is expected that in the next one to two weeks, Shanghai's auto industry will resume work and production one after another.
A few days ago, the Ministry of Industry and Information Technology announced that it will study the establishment of an emergency coordination mechanism for industrial chain supply chain appeals, set up a "white list" of key enterprises in the field of industry and information technology to ensure the operation of key enterprises, and concentrate resources to prioritize the protection of Shanghai's integrated circuits, automobile manufacturing, and biotechnology. 666 key enterprises in key industries such as pharmaceuticals resumed work and production. Jiemian News noted that Tesla is on the list of suspended companies that must resume work.
In addition, the Shanghai Municipal Economic and Information Technology Commission issued the first edition of the "Guidelines for the Prevention and Control of Epidemics in Industrial Enterprises Resuming Work and Production", requiring enterprises to formulate epidemic prevention and control and closed-loop management plans, and implement "two points and one line" management for employees' workplaces and residences. And conduct regular inspections. The enterprise must also submit the plan to the epidemic prevention and control department for approval.
On April 18, Liu He, member of the Political Bureau of the Central Committee of the Communist Party of China and Vice Premier of the State Council, attended the national teleconference on ensuring the smooth flow of logistics and promoting the stability of the industrial chain supply chain and delivered a speech. The 100 billion yuan re-loan for the transportation and logistics field will leverage 1 trillion yuan of funds, and establish a white list of key industries and foreign trade enterprises such as automobiles, integrated circuits, consumer electronics, equipment manufacturing, agricultural materials, food, and medicine.