More than 20 car companies stop production Dongfeng Honda the most injured! Hubei Automobile Enterprises under the epidemic situation

SMM News: this Spring Festival holiday, the people of the country United to fight the epidemic. People donate money and goods and give a piece of love. In Wuhan, the city with the worst epidemic, although the whole city is closed, love from all over the country has gathered here, making us feel that it is not so cold this winter.

Wuhan is not only the transportation hub of "the thoroughfare of nine provinces", but also the important city of China's automobile manufacturing industry. Dongfeng Automobile headquarters, Dongfeng a number of joint venture factories, SAIC General Factory are built in Wuhan. In addition, automotive suppliers Bosch and Webster have parts factories in Wuhan to provide steering systems and other automotive parts to all parts of the world.

The outbreak, which occurred during the Spring Festival holiday, has also had an impact on businesses returning to work after the Spring Festival. At present, all the factories in the automobile manufacturing industry in Wuhan have been shut down, and work is not expected to resume until February 14 at the earliest. Wuhan's auto industry has had to stop for a while as the epidemic continues to ravage. The shutdown of at least three weeks will have a big impact on the auto industry in Wuhan and even on the auto industry across the country.

Hubei Automobile Enterprises produce more than 2 million passenger cars a year

Hubei Province is the hardest hit by the epidemic, at the same time, Hubei Province is also one of the centers of China's automobile manufacturing industry. Affected by the epidemic, the province's automobile manufacturing industry has basically stopped production. According to data released by the Hubei Provincial Bureau of Statistics, in 2018, there were 1490 automobile manufacturing enterprises in Hubei Province, with the total industrial output value reaching 728.938 billion yuan, accounting for 17 percent of the total industrial output value of the province's manufacturing industry. At present, the number of employees in the automobile manufacturing industry in Hubei Province has reached 420000. Hubei province will produce 2.24 million passenger cars in 2019, accounting for about 10 per cent of the country's total output, according to data released by the National passenger car Market Joint Association.

Wuhan, the city with the worst epidemic, is the center of Hubei's automobile manufacturing industry. As one of the six major passenger car bases in China, Wuhan brings together the four major car systems of China, France, the United States and Japan. According to the statistics of the Wuhan Automobile Industry Development Office, the automobile output of Wuhan in 2018 was 1.7 million, and the output value of the automobile and parts industry reached 400 billion yuan, making it the first pillar industry in Wuhan's economy for the ninth year in a row.

It is understood that a number of car companies and suppliers of the automobile industry have manufacturing plants in Hubei Province. At present, there are 20 vehicle manufacturers in Hubei Province, of which 12 are in Wuhan, accounting for more than half of the province. In addition, Shiyan and Xiangyang are also important automobile producing areas in Hubei.

Dongfeng Group is headquartered in Wuhan, one of which is built in Wuhan, and most of the other passenger and commercial vehicle factories are also located in Hubei Province. In addition, Dongfeng Peugeot, Dongfeng Citroen, Dongfeng Renault and Dongfeng Honda vehicle factories are located in Wuhan. In addition, SAIC General Motors, Jianghuai Automobile, BYD, Jinlong bus all have factories in Wuhan.

In other parts of Hubei, Xiangyang City has set up Dongfeng Group passenger and commercial vehicle factories, Dongfeng Peugeot, Dongfeng Citroen and Dongfeng Nissan vehicle factories have also been built in Xiangyang City.

In Shiyan, Hubei Province, Dongfeng Group, Dayun Automobile, Sanhuan Automobile and other car enterprises have set up factories; in addition, there are also some automobile factories in Suizhou, Huanggang, Dazhi and Yichang.

Wuhan car companies account for half of Hubei Dongfeng Honda is the most injured

At present, among the automobile enterprises in Wuhan, Hubei Province, Dongfeng Group and its joint venture have the largest scale and the highest production capacity.

1. Dongfeng passenger car co., Ltd.

Dongfeng Motor Group passenger car Company in Wuhan plant mainly produces Dongfeng Fengshen fuel vehicles and new energy vehicles, but also produces Dongfeng series engines. Among them, Dongfeng Fengshen models are AX3, AX4, AX5, AX7, A9 and E70 pure electric vehicles. The entire plant is designed to have a capacity of 215000 vehicles a year, compared with 85000 vehicles in 2018.

2. Dragon motor co., Ltd.

The Dragon Motor Company, established by Dongfeng and PSA Group, is another car company that has been greatly affected by the epidemic. At present, Shenlong Automobile has three factories in Wuhan, with a production capacity of 300000 vehicles per year in the first plant and 150000 vehicles per year in the second and third factories, with a total capacity of 600000 vehicles.

However, due to the cold car market in the past two years, Shenlong Automobile Wuhan No. 3 Factory has now stopped production. In 2018, Shenlong's first and second factories in Wuhan had an annual output of 177000 vehicles.

At present, Shenlong Automobile's Wuhan factory mainly produces 18 models from Dongfeng Peugeot, Dongfeng Citroen and Dongfeng Fengshen. Among them, Dongfeng Peugeot has 5008, 4008, 3008, 2008, 408, 308s, 308, 301 a total of 8 models; Dongfeng Citroen has C3-XR, C4 Sega, C6, C5, C4L, Elysee, Tianyi C5 AIRCROSS, Yunyi C4 AIRCROSS a total of 8 models; Dongfeng Fengshen has L60 and A9 models.

3. Dongfeng Honda factory

Dongfeng Honda, a joint venture between Dongfeng Group and Honda, is headquartered in Wuhan, while all three vehicle factories are also located in Wuhan. In 2018, Dongfeng Honda's Wuhan plant produced 740000 vehicles a year.

The first and second factories of Dongfeng Honda are responsible for most of the production capacity of Dongfeng Honda. The first factory mainly produces CR-V, Siplin and Eli gentry models, with an annual output of 240000 vehicles, while the second factory mainly produces XR-V, Civic, Corey and Jingrui models, with an annual output of 240000 vehicles. The first phase of the third plant, which was officially put into production in April 2019, currently has an annual output of 120000 vehicles, and the second phase is expected to be officially put into production this year, when it will expand the production capacity of new energy vehicles.

4. Dongfeng Renault Factory

Dongfeng Renault Factory, a joint venture between Dongfeng Group and Renault, is also located in Wuhan. At present, the factory employs about 2000 people, with an engine capacity of 150000 units per year and a vehicle capacity of 150000 vehicles per year.

The factory mainly produces three models: Dongfeng Renault Corleone, Corleo and Correga. In 2018, the Dongfeng Renault Wuhan plant produced 48000 vehicles.

5. SAIC General purpose Factory

In addition to Dongfeng Group, SAIC General Motors also has a branch in Wuhan, with about 6000 employees. At present, the total annual production capacity of the first and second phase plants is about 480000 vehicles, and the annual output of engines can reach 450000 units, accounting for about 23% of the total output of SAIC.

SAIC GM makes Chevrolet and Buick models at the plant. Among them, the Chevrolet model has the Corvoz, the explorer, the Cruze, but also plans to start producing the smooth patrol electric car this year; the Buick model has the Yinglong, the Yue long, the GL6, the slight blue electric car.

6. Other car companies in Wuhan

Jianghuai Automobile, BYD Automobile and Jinlong bus also have factories in Wuhan.

Jianghuai Automobile mainly produces new energy vehicles in Wuhan, with an annual output of 20,000 vehicles.

BYD mainly produces new energy commercial vehicles in Wuhan, including new energy buses, with an annual production capacity of 8000 vehicles.

In addition, Jinlong bus in Wuhan production of pure electric buses, annual production of up to 10,000.

7. The follow-up impact on Automobile Enterprises

Under the spread of the epidemic, for Wuhan, and even the entire Hubei car companies, the most direct impact is the daily loss of factory maintenance costs, but also the vehicle delivery cycle will be prolonged, ultimately affecting their own sales and revenue.

From the scale of production and marketing, the most seriously affected by the epidemic is Dongfeng Honda.

Honda is a hot brand in China, where it sold more than 1.55 million vehicles in 2019, an increase of more than 8 per cent. Dongfeng Honda, which has its headquarters and factory in Wuhan, delivered 788000 vehicles in 2019, surpassing SAIC Honda's 765000 vehicles, up 13.2 per cent from a year earlier.

In other words, if the epidemic does not end, Dongfeng Honda's full capacity, more than half of Honda's capacity in China is at a standstill.

At the same time, because the factory does not start, it will also extend the delivery time of its new cars, thus affecting terminal sales.

The spread of the epidemic has caused heavy losses to the whole car factory. The launch of new cars may be delayed.

The spread of the epidemic will have an impact on car companies in Wuhan and Hubei as a whole.

First, the most direct impact is the daily loss of plant maintenance costs.

A few days ago, it was reported that Beijing Mercedes-Benz had sent a letter to the Tianjin government to allow 19 supporting parts enterprises to resume work early to ensure the normal operation of the Mercedes-Benz factory in Beijing.

Beijing Mercedes-Benz said in a letter that if it does not return to work normally, Beijing Mercedes-Benz will lose as much as 400 million yuan a day.

The operation and maintenance costs of other automakers may not be as high as those of luxury brands such as Mercedes-Benz, but at least it shows that the plant has suffered heavy losses from shutdowns.

Secondly, due to the late resumption of work in Wuhan and Hubei, it will affect the delivery time in the car market.

At present, competition in the domestic car market is quite fierce, and if the delivery time is prolonged, consumers may turn to brother brands (for example, from Dongfeng Honda to Guangzhou Honda), or even other brands, affecting sales after the company returns to work, ultimately affecting revenue and aggravating losses.

Standard & Poor's, a credit rating agency, predicts that Chinese car production will fall sharply in the first quarter and by 2 per cent for the whole of the year. In 2019, China's car production will be about 25 million, and according to Standard & Poor's forecast, Chinese car production will fall by 500000 for the whole of this year.

In addition, as the R & D staff of the car companies are also in a state of shutdown, the new car listing plans of the major car companies will also be affected.

An engineer working at Wuhan Dongfeng Group told the car that the company's ongoing test of a new car project would need to be postponed after the shutdown. At the same time, because the production and manufacture of parts will lag behind, even after the resumption of work, the corresponding research and development can not be carried out immediately.

"that is to say, if the project is shut down for a week, the progress of the project will actually be more than a week behind." The engineer said to the car.

Honda announced earlier this year that it would introduce a SPORT HYBIRD e + plug-in hybrid power system for Honda CR-V, to accelerate Honda's electric layout, as well as a box version of Civic. Both of the new cars to be released are made at the Wuhan factory.

Honda's plans for a new car may also be delayed as a result of the outbreak. In addition, the ongoing construction of the second phase of Honda's third plant is likely to be affected.

Shenlong plans to launch the Peugeot 4008 and Citroen Tianyi PHEV in May, although it plans to produce at the Chengdu plant, but the sudden shutdown of a large number of suppliers before production may also have an impact on the launch of new cars.

At present, the car market competition is fierce, the introduction of new cars is the key to increase the competitiveness of car enterprises, if the new car market is affected, the old models will face more severe competition, or even lose a certain market share.

Finally, for employees of car companies, the epidemic also means a decline in income and benefits.

The engineer told the car that after the epidemic is over, the probability of its performance pay will decline or even cancel, affecting income. At the same time, in order to catch up with the progress of R & D, its R & D center is also likely to increase overtime.

Thousands of parts companies have been affected and overseas auto companies have been shut down

At present, Bosch, Webster and Valeo, the world's large parts suppliers, all have factories or R & D centers in Wuhan.

1. Bosch

At present, Bosch has 23 manufacturing plants in mainland China, mainly manufacturing electric vehicles' motors, gearboxes and electrical equipment, and exporting them to other countries. Two factories in Wuhan mainly manufacture automotive steering systems and thermal technical components. In addition, Bosch also has manufacturing plants in Wuhu, Nanjing, Changzhou, Wuxi, Taicang and other cities.

Bosch's sales in the Asia-Pacific region totaled 22.5 billion euros in 2019 and 10 billion euros in China.

Volkmar Denner, chief executive of Bosch, said: "there are about 800 employees at two factories in Wuhan. At present, no employees have been infected with the new coronavirus. " He pointed out that the impact on Bosch's global business was small because the shutdown date was during the Spring Festival holiday in China.

However, he also warned that if the shutdown lasted until March, it would have a more significant impact on Bosch's international operations.

2. Webster.

The largest production base in the world for German supplier Webster is located in Wuhan City. At present, Webster's factory in Wuhan mainly makes electric skylights, electric heating systems and electric car charging stations.

It is understood that after the expansion of the Webster Wuhan plant last year, it is now able to produce 2 million skylight systems, 1.2 million electric heating systems and 600000 charging piles per year.

However, Weibast is currently experiencing a more serious situation, Wuhan Weibast factory has seven employees diagnosed with the new coronavirus. At present, Webster's headquarters in Germany has been closed and is expected to reopen on February 11.

Holger Engelmann, chief executive of Webster, said more than 1000 employees would work from home for nine days.

Earlier, Vibaster said five of the seven employees infected with the new coronavirus were German and two Chinese, all of whom had attended meetings at Vibst headquarters and were likely to be in close contact with other employees.

3. Valeo.

Supplier Valeo also has an R & D center in Wuhan. At present, China is Valeo's largest market, accounting for about 1% of the total sales.

Valeo's R & D center in Wuhan is also out of order. The R & D center mainly focuses on comfortable autopilot system, automobile headlights, millimeter wave radar, 4G/5G communication vehicle module and other technologies, while laying out the next generation intelligent network connection, new energy vehicle related industry chain.

It is understood that in 2019, Valeo invested 55 million yuan to expand on the basis of the original R & D center, and also recruited more than 1000 top researchers.

4. Other enterprises

Among the more than 1100 parts enterprises in Wuhan, private enterprises account for more than half, and 80% of the auto parts enterprises are no more than 500 people.

Therefore, the auto parts enterprises in Wuhan are mainly small private enterprises. Today, with the continuous spread of the epidemic, the living conditions of these enterprises are even more worrying.

The automobile industry is a long-chain industry, if the parts enterprises can not resume work, even if the car enterprises can not continue to produce, it can be said that all the glory and loss.

According to the current news, there is a time difference between the resumption time of the parts enterprises in Wuhan and Hubei and the resumption time of the automobile enterprises. I am afraid it will take a certain amount of time for the automobile industry in Hubei to return to normal operation after resuming work.

At the same time, some foreign auto companies, such as Hyundai Motor in South Korea, Kia Motor and Renault Samsung, have stopped production because some parts companies in Hubei have also exported parts overseas. Nissan's Kyushu plant in Kyushu, Japan, will also shut down on Friday.

Conclusion: the epidemic may make traditional car companies worse

The epidemic caused by the new coronavirus is still developing. At present, the number of new cases has dropped every day, and more patients have been cured. However, the impact of the outbreak has affected nerves around the world.

After the epidemic is basically under control, the major car companies will also resume production as soon as possible.

Dongfeng Group engineers told the car that at present, his company has taken measures to ensure that part of the work of the enterprise is carried out.

1. After the end of the Spring Festival holiday, the online office began, and most of the work done by cooperation can be exchanged by mail.

2. After the enterprise returns to work, step up production by reducing one day of rest per week.

3. If the company is in poor condition, other measures may be taken.

Dongfeng Group is the largest automobile manufacturer in Wuhan, and the shutdown has a great impact. Similarly, Wuhan has smaller carmakers, whose situation will be even more difficult. In the future, the auto industry may have a "hard time".

In recent years, due to the profound changes in the automotive industry, the lack of competitiveness of traditional car enterprises is gradually emerging. Coupled with the impact of the epidemic, Wuhan, one of the core areas of China's auto industry, will also be hit hard. Traditional car companies, which are already less competitive and less profitable, are likely to face a more severe situation. For the auto companies in Hubei Province, which are hardest hit by the epidemic, this is undoubtedly even worse.

"Click to sign up:" 2020 (Fifth) China International Nickel Cobalt Lithium Summit Forum "

To sign up for the Nickel Cobalt Lithium Summit or apply for entry into the SMM New Energy vehicle / Cobalt Lithium Industry Exchange Group, please scan the QR code below:

Please note: sign up for the Nickel Cobalt Lithium Summit / apply for SMM New Energy vehicles / Cobalt Lithium Industry Exchange Group