One of its main suppliers, Kyungshin, which has rapidly boosted capacity in China over the past two decades to capitalise on the country's lower labour costs and proximity to South Korea, has seen its operations hit hard by the epidemic. Hundreds of workers failed to turn up for work last week at two of its four plants, in Jiangsu and Qingdao, following a Chinese New Year holiday that was extended due to the outbreak, according to a source familiar with the matter. In Jiangsu, only about 300 of the 600 employees who were due to return showed up, the source said.Now Kyungshin, which supplies almost half of the wiring harnesses for Hyundai's auto electrical systems in the carmaker's South Korean manufacturing hub, is scrambling to make up for production shortfalls. It has increased output at its factories in the United States, India, Cambodia and South Korea, according to three people with knowledge of the measures, who told Reuters the company was running its Korean plants around the … [Read more...] about Coronavirus twisting Hyundai’s supply chain in China
NEW DELHI: Shares of auto companies were trading with losses in Thursday's session. Shares of Motherson Sumi Systems (down 3.46 per cent), Amara Raja Batteries (down 3.08 per cent), Tata Motors(DVR) (down 2.89 per cent), Ashok Leyland (down 2.76 per cent) and Mahindra & Mahindra (down 2.53 per cent) were among the top losers. Bosch (down 2.12 per cent), TVS Motor Company (down 1.77 per cent), Tata Motors (down 1.49 per cent) and Hero MotoCorp (down 1.4 per cent) too were in the red. While Exide Industries (up 0.18 per cent) and Eicher Motors (up 0.09 per cent) were among the top gainers. The Nifty Auto index was trading 1.22 per cent down at 7,119.8 around 11:02 am. Benchmark NSE Nifty50 index was down 110.90 points at 11,567.6, while the BSE Sensex was 362.66 points at 39,526.3. Among the 50 stocks in the Nifty index, 6 were trading in the green, while 44 were in the red. Shares of Vodafone Idea, YES Bank, Tata Motors, SBI, Indiabulls Housing, Ashok Leyland, JSPL, PNB, SAIL … [Read more...] about Stock market update: Auto shares down; Motherson Sumi dips 4%
Last month, Kevin Flynn got out of his office in Mumbai’s Bandra Kurla Complex, left behind the city’s sweltering heat and headed north, to embark on a long drive. The CEO of Fiat Chrysler Automobiles (FCA) India joined a group of 65 Jeep customers on a four-day adventure drive through Ladakh. “It was absolutely stunning. Amazing. The terrain, the mountain the colour, the smell and the feel … I was taken aback,” he says. Driving through the stark and treacherous terrain, the 59-year-old had an epiphany about a similarly challenging territory — the Indian automobile market. “Only very rarely in your life do you get a chance to dream something up from its embryonic state and make it happen,” he says, as his gaze scans the Mumbai skyline from the 16th floor office. He weighs his words before continuing. “I got a chance. This was one of my toughest challenges. It took me out of my comfort zone. And I made it happen. I have a … [Read more...] about Can Jeep Compass steer around Fiat’s fortunes in India?
CATL, China's top electric vehicle battery maker, said it aims to raise up to 20 billion yuan ($2.85 billion) in a private placement of shares to fund its battery projects and boost working capital.The fundraising will help CATL to expand its battery-making capacity in Fujian, Jiangsu and Sichuan, as well as an energy storage research project, the company said in a filing to the Shenzhen stock exchange late Wednesday.The company has partnerships with Tesla, Volkswagen and BMW.In a separate filing on Wednesday, the battery maker said it plans to invest 10 billion yuan in a battery manufacturing base in Ningde, where it is headquartered.China has set an ambitious plan for new energy vehicles, which include battery-only, plug-in hybrid and fuel-cell vehicles. However, their sales sank 51.6% in January, industry data showed, due to a cut in subsidies, the Lunar New Year holiday starting earlier than last year as well as the impact of the outbreak in China of a new coronavirus.Read also … [Read more...] about China’s CATL aims to raise $2.85 bln for EV battery projects
Hundreds of workers failed to turn up for work last week at two of its four plants, in Jiangsu and Qingdao, following a Chinese New Year holiday that was extended due to the outbreak, according to a source familiar with the matter. In Jiangsu, only about 300 of the 600 employees who were due to return showed up, the source said. … [Read more...] about Hyundai bet big on China. Now coronavirus is twisting its supply chain