SHANGHAI, April 9 (Reuters) – Chinese electric vehicle (EV) maker Nio (9866.HK) said on Saturday it has suspended production after the country’s measures to contain the recent surge of COVID-19 cases disrupted operations at its suppliers.
“Since March, due to reasons to do with the epidemic, the company’s supplier partners in several places including Jilin, Shanghai and Jiangsu suspended production one after the other and have yet to recover,” the company said on its mobile app.
The company will postpone deliveries of the EVs to users and will work together with the suppliers to strive for resumption while meeting the government’s COVID curbs, it added.
China has been taking strict lockdown measures to contain the spread of the highly contagious Omicron variant in several places including Jilin province and Shanghai where plants of major auto part makers and automakers are located.
Volkswagen’s joint venture plant with FAW Group in Changchun, the provincial capital of Jilin, has been shut since mid-March, while its plant in Shanghai with SAIC Motor (600104.SS) has been closed since April 1.