China EV maker Nio suspends production due to supply chain disruptions
Reuters
Published Apr 09, 2022 05:08AM ET
Updated Apr 09, 2022 05:30AM ET
SHANGHAI (Reuters) - Chinese electric vehicle (EV) maker Nio (NYSE:NIO) said on Saturday it has suspended production after the country's measures to contain the recent surge of COVID-19 cases disrupted operations at its suppliers.
"Since March, due to reasons to do with the epidemic, the company's supplier partners in several places including Jilin, Shanghai and Jiangsu suspended production one after the other and have yet to recover," the company said on its mobile app.
"Due to the impact of this Nio has had to halt car production."
The company will postpone deliveries of the EVs to users and will work together with the suppliers to strive for resumption while meeting the government's COVID curbs, it added.
China has been taking strict lockdown measures to contain the spread of the highly contagious Omicron variant in several places including Jilin province and Shanghai where plants of major auto part makers and automakers are located.
Tesla (NASDAQ:TSLA) has also suspended production at its Shanghai plant since March 28, Reuters reported, after the city started a two-staged lockdown which was later expanded citywide.
Volkswagen (DE:VOWG_p)'s joint venture plant with FAW Group in Changchun, the provincial capital of Jilin, has been shut since mid-March, while its plant in Shanghai with SAIC Motor has been closed since April 1.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.