Parts and components companies gave priority to resuming production, and the global industrial chain stabilized

As the core of global auto parts, the restart of Parts enterprises in Hubei, particularly affecting the hearts of people.

At a press conference held by The State Council Information Office on March 13, Xin Guobin, vice minister of Industry and Information Technology, proposed to give priority to the resumption of work and production in Hubei auto parts industry.

Xin guobin, hubei is China's fourth largest car production base, in the process of the epidemic prevention and control, Volkswagen, BMW, hyundai and so on some multinational companies are put forward, because some parts are manufactured in hubei, enterprise's stock inventory is not enough, if not timely return to work and production, enterprises will face a dilemma shutdown and production.

There are also some supporting manufacturers of domestic automobile enterprises in Hubei, among which 156 parts enterprises are located in Hubei among more than 400 domestic suppliers of GAC Group.

In view of this situation, on the one hand, the Ministry of Industry and Information Technology organized the competent departments of Hubei province, together with enterprises, to start the emergency stock guarantee, and solve the difficulties and problems faced by some enterprises. Take Hyundai of South Korea as an example. Its wiring harness production supporting enterprises in China are located in Hubei and Shandong respectively. Due to the supply of wiring harness, Hyundai has stopped production.

Therefore, the Ministry of Industry and Information Technology negotiated with relevant enterprises to quickly resume work and production, and gave priority to solving the "blocking points" and problems of these enterprises. At present, the order of Hyundai production and operation has returned to normal.

"At present, auto parts enterprises in Hubei province have resumed work and production in an orderly manner. The resumption of work and production in China's auto industry is progressing in an orderly manner, which plays an important role in the stability of the global supply chain." Xin Guobin said.

According to the General Administration of Customs, auto parts companies exported more than $60 billion in China in 2019, of which 40 percent were exported by their subsidiaries in China. More information shows that more than 80% of the world's auto parts and components are closely related to China.