SHANGHAI, April 15 (Reuters) - If suppliers in Shanghai and surrounding areas are not capable of resume work, Chinese automobile manufacturers may have to suspend production, according to Xiaopeng, the chief executive officer of Chinese electric-car manufacturer Xpeng on Thursday.
China's growing lockdowns are clogging highways and ports, and shutting countless factories, causing disruptions that are spreading across worldwide supply chains for goods, from electric vehicles to iPhones.
According to Reuters, some Chinese authorities are attempting to intervene, according to He on his personal Wechat feed, which he claimed was followed by Reuters, adding that he hopes more government departments would provide assistance.
Huawei's Consumer Business Group CEO Richard Yu said his comments were inspired by him, who also warned of significant economic difficulties if factories in Shanghai could not resume production. Yu said that all technology and industry corporations would have to stop production in May if their suppliers are in Shanghai, according to the official Securities Times.
In March, sales in the world's largest automobile market fell as COVID restrictions took a toll.
Tesla Inc. was among the automobile manufacturers experiencing the pain of limitations on production.
According to Reuters estimates, the Shanghai manufacturing hub has had a production loss of 10,000 Model Ys and 6,000 Model 3s per week. The company's Shanghai facility is currently operating for the first time since March 28, resulting in an output loss of more than 40,000 units. According to Reuters estimates, the company has installed 10,000 Model Ys and 6,000 Model 3s per week.
Even if there were no local-level restrictions, Nio had also suspended production at its Hefei factory, causing problems, as did suppliers from other areas.
As these areas become more aware of lockdowns, automobile manufacturers with manufacturing facilities in China's northeastern regions are resumed.
FAW Group, a state-owned Chinese automobile business, has resumed some manufacturing at its Hongqi factory in Jilin, while BMW said all of its manufacturing in Shenyang had resumed on Thursday.