Core Viewpoint - The commitment from leading automotive companies to unify payment terms to within 60 days reflects a significant shift in the Chinese automotive industry, aiming to break the cycle of "price wars" sustained by delayed payments to suppliers and to rebuild a healthier ecosystem [1][2]. Group 1: Industry Dynamics - The automotive industry has faced intense competition, leading manufacturers to extend payment periods to suppliers as a means to alleviate cost pressures, creating a detrimental cycle [1]. - The reform driven by major automotive companies is influenced by both policy guidance and a collective introspection within the industry regarding sustainable development models [1][2]. Group 2: Impact on Supply Chain - Shortening payment terms will allow small and medium suppliers to allocate more funds towards technological upgrades, enhancing vehicle quality and fostering a positive cycle [2]. - The relationship between manufacturers and suppliers is transitioning from a zero-sum game to a symbiotic and win-win dynamic, shifting the focus of competition back to product innovation and quality improvement [2]. Group 3: Future Directions - The implementation of the 60-day payment term requires detailed operational strategies, such as utilizing digital platforms for monitoring contracts and payment processes, streamlining approval levels, and incorporating payment terms into performance evaluations [2]. - The move from reliance on scale to building a symbiotic ecosystem marks the beginning of a healthier industrial chain, with expectations for more companies to join in reducing payment terms, leading to industry-wide collaboration [2].