Skip to main content
Sister Publication Links
  • Automotive News
  • Automobilwoche
  • Automotive News Canada
  • Automotive News China
Subscribe
  • Subscribe
  • Newsletters
  • Login
  • HOME
    • Latest news
    • Automakers
    • Suppliers
    • New Product
    • Environment/Emissions
    • Sales By Market
    • On The Move
    • Auto Shows
    • Munich Auto Show
    • Geneva Auto Show
    • Paris Auto Show
    • Beijing Auto Show
    • Shanghai Auto Show
  • Features
    • Long Read
    • Interview of the Month
    • Focus on Electrification
    • Focus on Technology
    • Segment Analysis
    • Cars & Concepts
    • Supplier Spotlight
    • Europe By The Numbers
  • Opinion
    • Blogs
    • Commentary
    • Guest columnists
  • Photos
    • Photo Galleries
    • Geneva Photo Gallery
    • Beijing Photo Gallery
    • Frankfurt Photo Gallery
    • Paris Photo Gallery
    • Shanghai Photo Gallery
  • Podcasts
  • Car Cutaways
  • EVENTS
    • ANE Congress
    • ANE Rising Stars
    • ANE Eurostars
  • More
    • Publishing Partners
    • Social Media
    • Contact Us
    • Media Kit
    • About Us
    • Capgemini: All or nothing: Why circular business models require a holistic approach
    • Capgemini: Invent Head on automotive takeaways from CES 2023
    • Capgemini: Securing the industry's future through a radical rethink
    • Capgemini: Succeeding with the automated driving journey through AI
    • Capgemini: The circular economy is spurring new thinking on EV batteries
    • Capgemini: Toyota and Capgemini leaders on how OEMs can handle industry changes and succeed
    • HEXAGON: Plugging into data is the only way to make winning EVs
    • TUV Rheinland: Ideas, services and certifications for smart mobility
    • TUV Rheinland: Testing of automated and autonomous vehicles on test tracks
    • Toyota Europe
    • UFI Filters
    • Facebook
    • Instagram
    • LinkedIn
    • Twitter
MENU
Breadcrumb
  1. Home
  2. Coronavirus
March 29, 2022 10:04 AM

Auto manufacturers scramble as Shanghai locks down amid COVID outbreak

Aptiv and Thyssenkrupp have sent workers home because of the need to enforce COVID controls.

Reuters
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print
    Shanghai COVID testing
    REUTERS

    Shanghai citizens are pictured waiting for a coronavirus test during an outbreak in the city.

    Shanghai's COVID-19 lockdown roiled auto production as two major suppliers joined Tesla in shutting plants to comply with measures to control the spread of the coronavirus.

    General Motors's joint venture in Shanghai maintained production by asking workers to sleep on factory floors and getting passes for trucks to continue deliveries, two people familiar with the matter said.

    A key auto supplier, Aptiv, told workers at one of its Shanghai facilities that supplies Tesla and GM's Shanghai joint venture to head home on Tuesday because of the need to enforce COVID controls, people briefed on the measure said.

    Thyssenkrupp said it had closed a facility in Shanghai where it assembles production lines for automotive components, including powertrains and batteries, until April 6 to comply with local coronavirus regulations.

    Related Article
    GM keeps up Shanghai output with workers sleeping on factory floor, report says

    The Aptiv and Thyssenkrupp closures came on the second day of a lockdown in Shanghai, home to 26 million people and a major hub for manufacturing of vehicles and other goods.

    The city has instituted tough controls on movements of people to try to control the spread of the highly infectious Omicron variant.

    The lockdown, one of the biggest tests for China's "zero-COVID" strategy, has forced automakers and suppliers to either try to adapt with extreme measures to keep factories running or to shut down and risk delayed shipments at a time when demand for vehicles is strong.

    German auto supplier Bosch on Tuesday said its two plants in Shanghai are working with reduced personnel.

    "We are doing everything we can to maintain the supply chains as much as possible and to serve the demands of our customers," the company said in a statement.

    DAILY NEWSLETTER: Sign up and get the top news of the day in Europe every business weekday.

    For global automakers and suppliers, the latest coronavirus-related disruptions in China, the world's largest market, are piling on top of problems created by the war in Ukraine.

    The measures GM took to keep its Shanghai plant open equate to a "closed-loop" management process, which China's financial hub has asked companies to adopt to stay open during a two-stage lockdown to battle its outbreak.

    In the bubble-like arrangement, workers sleep, live and work in isolation from the rest of the world to prevent virus transmission. A similar system was used at the Winter Olympics in Beijing to seal event personnel off from the public.

    The facilities, which GM runs as part of a joint venture with Chinese state-owned automaker SAIC Motor Corp, produce Buick, Chevrolet and Cadillac vehicles. The facilities are in areas east of Shanghai's Huangpu River that have been locked down from Monday to Friday.

    GM, which said on Monday that its Shanghai joint venture was producing normally, declined to comment on the arrangements at its factory.

    A spokesperson said the company and its joint ventures had developed and were executing contingency plans with their suppliers to mitigate uncertainty related to COVID-19. SAIC did not have immediate comment.

    SAIC-GM's ability to keep its Shanghai production lines running contrasts with that of Tesla, which Reuters reported has suspended production for the four-day period. It was unable to secure sufficient provisions for its workers to achieve closed-loop management, one source said.

    The workers at the affected Aptiv site were told to stay home on Wednesday and await further notice, the four sources told Reuters. Two of the sources said the affected compound produces for Tesla and GM's Shanghai joint venture with SAIC.

    Aptiv's Shanghai facilities are in the west of the city and had not been affected by the city's lockdown, which started in eastern districts. The sources said the workers at the affected facility had been told that it had to shut due to COVID-19 issues.

    Aptiv declined to comment on the production suspension.

    "I can confirm that we are following all government orders and not impacting customers' production," an Aptiv spokesperson said.

    Tesla, GM and SAIC did not have immediate comment.

    TCL Corp and Apple suppliers Foxconn and Shenzhen Deren Electronic managed to keep production going in southern China this month with closed-loop management after manufacturing hubs such as Shenzhen and Dongguan were hit by similar lockdown measures.

    RECOMMENDED FOR YOU
    Russians reluctantly embrace Chinese cars after Western brands depart
    Recommended for You
    Moskvich car 2022
    Russians reluctantly embrace Chinese cars after Western brands depart
    Dacia Sandero with new front grille 2023
    Dacia, MG gain from French demand for low-cost cars
    Smart #1 11.jpg
    Smart dealers optimistic about switch to agency direct-sales model
    Sign up for free newsletters
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    Get Free Newsletters

    Sign up and get the best of Automotive News Europe delivered straight to your email inbox, free of charge. Choose your news – we will deliver.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    SUBSCRIBE TODAY

    Get 24/7 access to in-depth, authoritative coverage of the auto industry from a global team of reporters and editors covering the news that’s vital to your business.

    SUBSCRIBE NOW
    Connect with Us
    • Twitter
    • Facebook
    • LinkedIn
    • Instagram

    Founded in 1996, Automotive News Europe is the preferred information source for decision-makers and opinion leaders operating in Europe.

    Contact Us

    1155 Gratiot Avenue
    Detroit MI  48207-2997
    Tel: +1 877-812-1584

    Email Us

    ISSN 2643-6590 (print)
    ISSN 2643-6604 (online)

     

    Resources
    • About us
    • Contact Us
    • Advertise with us
    • Advertise with Us
    • Ad Choices Ad Choices
    • Sitemap
    Awards
    • Rising Stars
    • Eurostars
    • Leading Women
    Legal
    • Terms and Conditions
    • Privacy Policy
    • Privacy Request
    Automotive News Europe
    Copyright © 1996-2023. Crain Communications, Inc. All Rights Reserved.
    • HOME
      • Latest news
      • Automakers
      • Suppliers
      • New Product
      • Environment/Emissions
      • Sales By Market
      • On The Move
      • Auto Shows
        • Munich Auto Show
        • Geneva Auto Show
        • Paris Auto Show
        • Beijing Auto Show
        • Shanghai Auto Show
    • Features
      • Long Read
      • Interview of the Month
      • Focus on Electrification
      • Focus on Technology
      • Segment Analysis
      • Cars & Concepts
      • Supplier Spotlight
      • Europe By The Numbers
    • Opinion
      • Blogs
      • Commentary
      • Guest columnists
    • Photos
      • Photo Galleries
      • Geneva Photo Gallery
      • Beijing Photo Gallery
      • Frankfurt Photo Gallery
      • Paris Photo Gallery
      • Shanghai Photo Gallery
    • Podcasts
    • Car Cutaways
    • EVENTS
      • ANE Congress
      • ANE Rising Stars
      • ANE Eurostars
    • More
      • Publishing Partners
        • Capgemini: All or nothing: Why circular business models require a holistic approach
        • Capgemini: Invent Head on automotive takeaways from CES 2023
        • Capgemini: Securing the industry's future through a radical rethink
        • Capgemini: Succeeding with the automated driving journey through AI
        • Capgemini: The circular economy is spurring new thinking on EV batteries
        • Capgemini: Toyota and Capgemini leaders on how OEMs can handle industry changes and succeed
        • HEXAGON: Plugging into data is the only way to make winning EVs
        • TUV Rheinland: Ideas, services and certifications for smart mobility
        • TUV Rheinland: Testing of automated and autonomous vehicles on test tracks
        • Toyota Europe
        • UFI Filters
      • Social Media
        • Facebook
        • Instagram
        • LinkedIn
        • Twitter
      • Contact Us
      • Media Kit
      • About Us