Mazda Motor Corp. reports sufficient parts inventories will keep production status quo despite COVID lockdowns at Chinese suppliers.  -  IMAGE: Mazda

Mazda Motor Corp. reports sufficient parts inventories will keep production status quo despite COVID lockdowns at Chinese suppliers.

IMAGE: Mazda

Mazda Motor Corp reports sufficient parts inventories will keep production status quo despite COVID lockdowns at Chinese suppliers, reported a company exec with the Japanese automaker.

This is in stark contrast to earlier this year when a two-month COVID-19 lockdown in Shanghai led to a lack of parts that forced the automaker to suspend production for 11 days at its two domestic plants.

"One measure we are taking now to reduce risk is to bring the inventory to Japan," Takeshi Mukai, senior managing executive officer, told Reuters.

He noted the automaker strives to have enough parts on hand to withstand at least one month of COVID lockdowns in China and another month of limited parts as the Chinese factories restart production.

Mazda reported in August that it would start asking parts suppliers to increase stockpiles in Japan and produce components outside of China to avoid catastrophic hits from China’s zero-COVID policies.

China’s efforts to stamp out every COVID-19 outbreak led to shrinking production activity at Chinese factories in November and have sparked public protests.

0 Comments