It is expected that the resumption of work and production of Shanghai automobile industry chain will continue to advance, and the bottom of the sector may be clear under the expectation
[Securities Times] on the evening of April 16, the Shanghai Municipal Commission of economy and information technology issued the guidelines for the prevention and control of the epidemic situation of industrial enterprises returning to work and production, which proposed to implement closed-loop management under the premise of compacting the main responsibility of enterprises and ensuring controllable risks, effectively promote enterprises returning to work and production in an orderly manner, and ensure the safety and stability of the industrial chain and supply chain. The first batch of enterprises to resume production include not only enterprises in key industries such as integrated circuit, automobile manufacturing, equipment manufacturing and biomedicine, but also many operation support and economic support enterprises.
In the automobile industry chain, Saic Motor Corporation Limited(600104) released the guidelines for the prevention and control of the epidemic situation of resumption of work and production. The pressure test of resumption of work and production will be started on April 18, which will drive some core parts factories to enter the pressure test at the same time. According to people familiar with the matter, Tesla Shanghai factory has informed employees to be ready to resume work next week. Previously, China FAW and other auto enterprises in Jilin Province, also affected by the epidemic, have taken the lead in resuming work and production recently, and have achieved positive results. The main engine plants with production capacity in Shanghai mainly include Tesla, SAIC Volkswagen, SAIC GM and SAIC passenger cars. Their production capacity in Shanghai reaches 800000 / 50 / 55 / 500000 vehicles respectively, accounting for 10.5% of the total production capacity in China. Affected by the epidemic, the sales volume of Tesla and Saic Motor Corporation Limited(600104) in a single week (from April 4 to 10) of local auto enterprises in Shanghai decreased by more than 90% month on month.
Comments: the agency believes that the market expected the impact of the epidemic on supply and demand to reach two months, and the Shanghai automobile industry began to gradually resume production in April. With the gradual rise of the expectation of resumption of work of Shanghai automobile industry chain, the marginal of passenger car supply side is gradually improved, and the position of the bottom of the sector is clear. Shanghai local industry chain companies hope to benefit.
Shanghai Beite Technology Co.Ltd(603009) ( Shanghai Beite Technology Co.Ltd(603009) ): the company is deeply engaged in automobile chassis parts, is the leader in the shock absorption market segment, and actively promotes the new energy vehicle business to lay out a new growth pole. The company’s customers cover first-line steering gear and shock absorber enterprises such as Bosch, Wandu and Huizhong saxophone. Downstream mainstream automobile enterprises include Tesla, SAIC, Volkswagen, etc.
Chaojie Technology ( Essence Fastening Systems (Shanghai) Co.Ltd(301005) ): the company actively expands to the field of new energy vehicles. Its products mainly include seats, electronic control inverters and motors, automobile chassis welding and powertrain system applied to new energy vehicles. Its end customers are mainly Volkswagen, SAIC, GM, Tesla, etc.
