Major China automakers mostly fulfil pledges to make timely supplier payments, industry body says

Reuters09:14
Major China automakers mostly fulfil pledges to make timely supplier payments, industry body says

BEIJING, Feb 12 (Reuters) - Most of the major Chinese automakers have delivered on their promises to make supplier payments within 60 days, the China Association of Automobile Manufacturers said on Thursday, citing the findings of a recent survey.

Seventeen automakers, including BYD 002594.SZ, 1211.HK, Chery 9973.HK, SAIC 600104.SS and Xiaomi 1810.HK issued the pledges in June, responding to an outcry from steelmakers over long payment times and regulatory pressure as a punishing price war hit the entire industry.

Supplier payments have now been made around 54 days on average, an auto association investigation found, and four automakers were able to pay within 50 days on average. It did not name the four car makers.

(Reporting by Qiaoyi Li and Colleen Howe; Editing by Muralikumar Anantharaman)

((qiaoyi.li@thomsonreuters.com;))

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