The Chinese company, Niu, which specializes in the electric car industry, said that it has stopped production, after the work of its suppliers was disrupted due to the recent measures taken by the country to contain the recently increasing cases of Covid-19 virus.
Niu announced through its mobile application that the company’s supply partners in several places, including Jilin, Shanghai and Jiangsu, had stopped production one by one due to the coronavirus epidemic, and had to stop production of cars as a result. A favorite of analysts lately. Read more [Top 5 Stocks to Invest in for The Long Term].
The company will postpone the delivery of electric cars to users, and will work hard with suppliers to resume its operations, taking into account the restrictions imposed by the government regarding the Corona virus, knowing that it is not the first time that the company has closed its factory. Read more [Nio shuts down its factory due to acute shortage of chips].
The Chinese government has taken strict closures in several places, including Jilin Province and Shanghai, where major factories of auto parts makers and automakers are located, to prevent the spread of the new, highly contagious Omicron mutant. Read more [Chinese Tech Stocks Fell After the Outbreak of the Epidemic].
Tesla had also suspended production at its Shanghai factory since March 28 after the city was shut down in two phases, which later included the entire city. Read more [Tesla Firm Announces First-Quarter Deliveries].
Volkswagen’s joint venture with FAW Group in Changchun – the capital of Jilin Province – has been closed since mid-March, while the German company’s Shanghai joint venture with SAIC Motor has been closed since April 1. Read more [Volkswagen Cancels Evening Shifts as Chip Crisis Continues].