MANILA – Automotive vehicle assemblers in the country may look into sourcing auto parts from local suppliers as productivity in manufacturing powerhouse China slowed down due to the virus outbreak, the country’s top trade official said.
Department of Trade and Industry (DTI) Secretary Ramon Lopez said the coronavirus disease (COVID-19) outbreak can affect the supply chain of the local automotive industry.
“There will probably be challenge as to the supply chain, but just like people, companies cope up. They can do a backup strategy, sourcing from alternative sites as well. That can be in other parts of China or other parts of the world, including the Philippines,” Lopez said.
Although the effects of the production slowdown in China could be temporary, he urged car companies here to increase the local content of vehicles that they assemble here.
“Find local sources for any eventuality, not to rely on a single source. It’s like part of business continuity planning,” the DTI chief said. (PNA)
