The Wuhan coronavirus is causing global supply networks to collapse, including Hyundai Motor Group’s plants located in South Korea.
Chinese wiring harness manufacturers announced on Jan. 31 that they would stop operating until Feb. 9. Under the circumstances, Hyundai and Kia are considering stopping overtime production or plant operation in South Korea itself. The group’s plants in China, which are scheduled to resume operation on Feb. 3 after the Chinese New Year holidays, are about to be stopped, too.
The management and employees of the group discussed a temporary shutdown of six plants in South Korea on Jan. 31. They failed to reach an agreement and the same matter will be discussed again on Feb. 3. At the meeting, the management shared with workers details about the production activities and inventories of wiring harness suppliers located in Fuyang and Shandong. Specific cessation conditions are likely to be discussed based on the details on Feb. 3.
In the meantime, SsangYong Motor decided to shut down its manufacturing facilities from Feb. 4 to 12 due to a wiring harness supply setback. GM Korea and Renault Samsung Motors are paying close attention to the situation.