scrambled to remove American components
from its products last year after President
Donald Trump imposed curbs on access to
U.S. technology.
Automakers also are “highly exposed,” because
they need components from U.S. and other
global suppliers, Moody’s Investors Service said
in a report. It said disruption in China would
affect the worldwide industry.
Global automakers use lean systems that
keep few components on hand. They have
reopened factories in China but say the pace of
recovery depends on how fast suppliers start
delivering again.
Ford Motor Co. said in a statement is “carefully
assessing the situation” but anticipates no
disruption to its China operations due to anti-
virus controls imposed by other governments.
It said its factories are able to meet market
demand but need time to return to normal.
Dell Technologies Ltd., one of the biggest PC
manufacturers, said it uses a global network of
suppliers and tells customers about changes in
production time.
“We continuously explore alternative sourcing,
production and logistics strategies” and will
“adjust as needed,” the company said in
a statement.
General Electric Co., which employs 18,000
people in China, expressed confidence its global
supply chain gives the company “flexibility to
manage and adapt to risks.”
The politics of supply chains are increasingly
fraught as U.S.-Chinese trade tensions rise.
Manufacturers already were looking for ways
to rely less on China after a tariff war with