SAIC motor opened a stress test, the first batch of "white list" chain enterprises nearly 40%, the automotive industry chain accelerated restart

The automotive industry chain affected by the epidemic is accelerating its restart. After FAW Group resumed work and production, on April 18, SAIC Motor and related supply chain enterprises officially launched the stress test of resuming work and production. As an important gathering place in the domestic automobile industry chain, Shanghai enterprises have entered the period of resuming work and production, which will also drive the domestic automobile production capacity to return to its place. Industry insiders said that after Shanghai announced the first batch of "white list" of key enterprises to ensure operation, enterprises began to prepare for the resumption of work and production, and the stress test of SAIC Motor Group was not only a signal for the gradual recovery of vehicle production, but also involved upstream enterprises in the industry and accelerated the restart of the automotive industry chain.

The resumption of work and production is imminent

"In the future, SAIC Motor will comprehensively consider the trend of the epidemic situation, stress test results, etc., and formulate a further dynamic plan for the resumption of work and production." SAIC Motor said that at present, under the guidance of the Shanghai epidemic prevention and control and the municipal government's promotion of the resumption of work and production and epidemic prevention, in order to comprehensively promote the prevention and control of the epidemic and economic and social development, SAIC Motor has faced many difficulties and challenges, and plans to start stress tests and explore difficult points and blockages under the premise of controllable risks, so as to make positive preparations for the official resumption of work and production.

This time, the stress test launched by SAIC Motor Group not only involves vehicle manufacturers, but also includes related parts and components enterprises. Since April 18, SAIC Motor's passenger cars, SAIC Volkswagen, SAIC-GM, Huayu Automobile, Anji Logistics and other vehicles, parts and logistics enterprises under SAIC Motor Group have launched stress tests for resuming work and production, focusing on personnel support, supply chain support, logistics support, closed production management and epidemic prevention measures.

In fact, affected by the epidemic, there are currently more than a thousand automotive industry chain enterprises in Shanghai that have stopped production and reduced production to varying degrees, and the "shutdown" of these enterprises has also seriously affected the production of complete vehicles. On March 28, Tesla suspended production at the Shanghai Gigafactory and cancelled production plans scheduled to resume work on April 1 and 2. According to relevant sources from Shanghai Volkswagen, the epidemic has affected the normal operation of automakers and supply chains since late March, and the production schedule of the Anting plant has been forced to adjust.

On April 16, the Shanghai Municipal Commission of Economy and Information Technology formulated and issued the "Guidelines for the Prevention and Control of the Epidemic in Shanghai Industrial Enterprises resuming Work and Production (First Edition)", which aims to effectively promote the resumption of work and production of enterprises in an orderly and effective manner and ensure the safety and stability of the industrial chain supply chain. At the same time, the forward working group of the Ministry of Industry and Information Technology studied the establishment of an emergency coordination mechanism for the demands of the industrial chain supply chain, set up a "white list" of key enterprises in the field of industry and informatization, and concentrated resources to prioritize the resumption of work and production of 666 key enterprises in key industries such as integrated circuits, automobile manufacturing, equipment manufacturing, and biomedicine.

The Beijing Business Daily reporter noted that in the first batch of key enterprises "white list", there are more than 200 enterprises that belong to automobile production and industrial chain support. Among them, in addition to SAIC, Tesla and other vehicle companies, there are also ZF, Denso, Schaeffler, Continental, Faurecia and other top 100 auto parts enterprises. Industry insiders believe that vehicle production involves various supply chain links, and as SAIC Opens the Stress Test for Resuming Work and Production, Shanghai's automotive supporting industry chain related enterprises will also be expected to resume work and production.

Drive the recovery of the whole industry

As an important town in the domestic automobile industry, the resumption of work and production of related enterprises in Shanghai is also related to the stability of the national automobile industry chain and supply chain. According to the data, Shanghai accounts for 10% of the country's total automobile production, second only to Guangdong's 12%. At the same time, many automotive industry chain supporting enterprises have also set up factories in the "Jiangsu and Zhejiang Hui" area around Shanghai, not only supplying Shanghai vehicle enterprises, but also becoming many suppliers of car companies across the country.

According to incomplete statistics, almost all of the world's top 100 auto parts companies have set up factories in shanghai and surrounding areas, with more than 1,000 large-scale suppliers and more than 20,000 micro-suppliers. Among them, there are 19 listed parts and components companies, with a total revenue of 184.045 billion yuan in 2020. The major customers of these 19 listed companies include SAIC, BYD, Weilai, Xiaopeng, Ideal Automobile, Geely Automobile, Volvo Audi, BMW, Tesla Ankai Bus, Yutong Bus and many other car companies.

In addition, with the introduction of Tesla's Shanghai factory, more than 340 companies such as Joyson Electronics, Horizon, and Yiqing Intelligent have gathered in Shanghai. At present, Shanghai's automotive-related enterprises, products cover generators, engines, electronic control systems, energy management systems, connectors, shielding covers, power testing equipment, airbags, shock absorbing components and other industrial chain segments.

Under the influence of the epidemic in Shanghai, the obstruction of the automobile industry chain has also affected many vehicle manufacturers across the country. On April 9, WEILAI released the news that since March, due to the epidemic situation, the company's supply chain partners in Jilin, Shanghai, Jiangsu and other places have stopped production, affected by this, WEILAI vehicle production has been suspended. Subsequently, Great Wall Motors said that due to the impact of the epidemic in Shanghai, Jiangsu, Jilin and other places, many parts suppliers of Great Wall Motors were affected, resulting in limited production capacity of the factory.

On April 14, Great Wall's tank brand announced the suspension of production of its popular model, the Tank 300. On April 17, some media reported that due to the impact of the epidemic, Dongfeng Nissan's factories in many parts of the country were temporarily suspended. The relevant person in charge of Dongfeng Nissan revealed that Dongfeng Nissan has 83 suppliers in Shanghai, most of which are electronic products, and they are all core component manufacturers. He Xiaopeng, CEO of Xiaopeng Motors, said bluntly that if the supply chain enterprises in Shanghai and the surrounding areas cannot find a way to dynamically resume work and production, all Chinese automakers may have to stop work and production in May.

"'Jiangsu, Zhejiang and Shanghai emblems' are an important area for the supply of core auto parts, and the Shanghai epidemic has brought a certain impact to the automotive industry, but it is a phased impact." According to Yan Jinghui, a member of the expert committee of the China Automobile Dealers Association, with the gradual recovery of relevant enterprises in Shanghai, the production of complete vehicles and terminal sales will gradually ease in the later period.

In addition to Shanghai, the changchun-related automobile industry that was previously affected by the epidemic is also accelerating its recovery, and the five major OEMs in Changchun of FAW Group have all resumed work. It is reported that FAW Hongqi Ulsan Plant, FAW-Volkswagen and FAW Toyota have rolled off the production line, and FAW Besturn and FAW Jiefang have started production after completing production line debugging.

With the resumption of work and production of related enterprises in the automobile industry, the stock market has also stepped out of the upward line. Beijing Business Daily reporter learned that on April 18, auto parts concept stocks continued to strengthen, as of the close of the day, Bojun Technology, Zhongjie Seiko rose more than 20%, Shenda shares, Yingli Automobile and other roses of more than 10%.

Beijing Business Daily reporter Liu Yang liu xiaomeng