Korean-cos feel pinch coronavirus

 South Korean manufacturers, led by carmakers, appear to be beginning to feel the pinch of the rapid spread of the new coronavirus, with possible disruption to production and plant operations around the corner, industry sources said Friday.

Hyundai Motor Co. and other major manufacturers have been operating plants in China to tap deeper into the world’s No. 2 economy, but their efforts to shore up their lackluster performance in recent years may be eclipsed by the outbreak of the novel virus, they have said.

The country’s five carmakers — Hyundai, Kia Motors Corp., GM Korea Co., Renault Samsung Motors Corp. and SsangYong Motor Co. — and two leading semiconductor firms — Samsung Electronics Co. and SK hynix Inc. — said their operations and production may face difficulties if the coronavirus situation goes from bad to worse.

Leoni Wiring Systems Korea, Inc., the South Korean unit of German auto parts maker Leoni AG, has recently decided to suspend operations at its wiring plant in China until Feb. 9. The decision will soon affect the production of vehicles at GM Korea, Renault Samsung and SsangYong.

The three carmakers said they are checking their inventories and looking for ways to secure the parts from other suppliers if things unfold unfavorably.

This undated file photo shows Hyundai and Kia's headquarters buildings in Yangjae, southern Seoul. (PHOTO NOT FOR SALE) (Yonhap)
(LEAD) (News Focus) Korean manufacturers bear brunt of new coronavirus - 2

Published by Naresh Sagar

Mentor MSME, Motivator, Media Event Org, Management fiscal & Water management.Social Media branding,Internet broadcasters,Propunder of Indian Philosophy

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: