Car industry rethinks approach in wake of virus

Vehicle parts manufacturers may soon relocate their operations in China to other countries to minimise supply chain problems for the automotive industry following the coronavirus outbreak.

Many Japanese companies, including leading car brands such as Toyota, have already extended closures of their Chinese plants beyond the end of the Lunar New Year holiday on February 2.

Officials of parts makers Aisin Seiki Co and Toyota Boshoku Corp, who fear prolonged suspensions may disrupt supply chains, say they are considering temporarily relocating their production to Japan, Thailand and other areas.

The Chinese city of Wuhan, ground zero of the outbreak, is home to numerous automotive plants that employ thousands of people.

Travel ban swings into force

As businesses ponder how to cope with the situation, New Zealand has shut its borders to foreigners travelling from China to limit any exposure to the virus.

The government has temporarily barred all foreign nationals travelling from, or transiting through, mainland China from entering New Zealand. The ruling came into effect on February 3 and will be in place for up to 14 days. 

New Zealand citizens and permanent residents returning to the country will still be able to enter but must self-isolate for a fortnight after arrival. The travel ban follows similar action by the US and Australia to minimise any threat from the virus, which has claimed more than 300 lives.

NZ Customs has also announced that all travellers entering the country will be manually processed through customs instead of using eGates.

“It is critically important that we both protect New Zealanders from the virus and play our part in the global effort to contain it,” Prime Minister Jacinda Ardern says.

The Ministry of Foreign Affairs and Trade has raised its travel advice to New Zealanders for all of mainland China to “do not travel” – the highest level.