Complete Manufacturing and Distribution for China, Vietnam, and Hong Kong

IN THE NEWS

Hyundai bet big on China. Now coronavirus is twisting its supply chain

Feb 12, 2020

SEOUL (Reuters) - South Korean car giant Hyundai Motor has increasingly relied on China to supply auto parts to its manufacturing hub at home in recent years. As the coronavirus spreads, its strategy could be backfiring.

“South Korean automakers are heavy on just-in-time delivery due to close geographic proximity to China. Other automakers have to carry more safety stock,” said Paul Stepanek, president at Complete Manufacturing and Distribution, which advises companies on sourcing supplies in Asia.

“Therefore, when there is a crunch on supply chains, the South Korean automakers feel it faster.”

Read Full Article on Reuters

 

Topics: In The News