Warren Buffett-backed Chinese EV giant BYD cuts production in Covid-19-hit Xian
- Reduced output in Xian expected to force Shenzhen-based carmaker to delay deliveries
- Carmaker could ‘better use capacity in other places to churn out more cars’, analyst says
The Shenzhen-based company that is backed by Warren Buffett said it was doing its best to overcome the situation. It was, however, certain that reduced output at its Xian manufacturing base would force it to delay the deliveries of some of its bestselling models, such as the Qin-branded vehicles, to customers.
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Behind the scenes at BYD Auto: China’s biggest electric vehicle factory
The EV giant did not elaborate on how its plants was affected, but Xian – home to the Terracotta Warriors – is battling a twin onslaught of the coronavirus and deadly seasonal haemorrhagic fever. The city of 13 million people launched lockdown measures on Thursday after reporting 63 local Covid-19 cases.
Residents can leave the city only where absolutely necessary, for which permission needed to be obtained from the local government. All residential complexes, villages and companies in Xian are subject to the lockdown measures.
Local media reported that part of the workforce staying at factories would be able to keep some production lines running.