Core Viewpoint - The article discusses the ongoing challenges faced by suppliers in the Chinese automotive industry, particularly regarding delayed payments from car manufacturers despite recent commitments to shorten payment terms to 60 days. Group 1: Payment Delays and Supplier Struggles - Many suppliers are still not receiving payments on time, with some relying on personal relationships with purchasing staff to expedite payments rather than legal or governmental channels [8][9][10]. - The new regulations mandating payment within 60 days for large enterprises purchasing from small and medium-sized enterprises (SMEs) have not been effectively implemented, leading to continued issues with delayed payments [6][7][14]. - Suppliers report that while some car manufacturers have improved payment speeds, others, particularly in the new energy vehicle sector, continue to delay payments despite previous commitments [12][16]. Group 2: Payment Practices and Industry Dynamics - The practice of using acceptance bills (承兑汇票) remains prevalent, allowing manufacturers to extend payment periods beyond the agreed terms, particularly affecting secondary suppliers [15][20]. - The competitive nature of the automotive industry leads to a culture where suppliers feel pressured to maintain business relationships, often at the expense of timely payments [28][29]. - Some suppliers, especially those with monopolistic positions in niche markets or those supplying foreign joint ventures, experience fewer payment issues compared to others [25][27]. Group 3: Regulatory and Market Responses - The article highlights the gap between policy and practice, noting that while regulations exist to protect suppliers, enforcement and adherence are lacking [24][33]. - The Ministry of Industry and Information Technology has opened a platform for reporting issues related to payment delays, but suppliers are hesitant to utilize it due to fear of damaging business relationships [29][30]. - The overall sentiment among suppliers is one of resignation, prioritizing business continuity over legal recourse for payment disputes [29][32].

Core Viewpoint - The Chinese automotive supply chain continues to face significant challenges, particularly regarding delayed payments to suppliers despite recent regulatory changes aimed at improving payment timelines [2][4][6]. Group 1: Payment Delays and Supplier Struggles - Many suppliers are still not receiving payments on time, with some suppliers reporting that the promised 60-day payment period is not being honored by all automakers [6][10]. - The new regulations intended to support small and medium-sized enterprises (SMEs) have had limited impact, as the culture of delayed payments persists in the industry [4][12]. - Suppliers often prefer to maintain good relationships with purchasing personnel rather than pursue legal or governmental channels to resolve payment issues, indicating a reliance on personal connections within the supply chain [4][12][22]. Group 2: Variability Among Suppliers - International and monopolistic suppliers do not face the same payment issues, as they hold more negotiating power in their relationships with automakers [5][21]. - Smaller suppliers, particularly those in lower tiers of the supply chain, experience longer payment delays, often facing payment terms of 3 to 6 months [9][11]. - The payment practices vary significantly between traditional automakers and newer electric vehicle companies, with some traditional manufacturers reportedly paying more promptly [7][19]. Group 3: Regulatory Framework and Compliance - The revised "Regulations on Payment to SMEs" mandates that large enterprises must pay SMEs within 60 days of delivery, yet compliance remains inconsistent [4][8]. - Despite the regulations, practices such as using acceptance bills for payment continue to be prevalent, allowing automakers to extend payment timelines [9][14]. - The Ministry of Industry and Information Technology has established a platform for reporting non-compliance with payment commitments, but suppliers are hesitant to utilize it due to fear of jeopardizing business relationships [23][25]. Group 4: Industry Dynamics and Competition - The competitive landscape in the automotive industry exacerbates the issue of delayed payments, as suppliers feel pressured to maintain business at the expense of their financial stability [20][22]. - Suppliers often prioritize business over profit, leading them to tolerate delayed payments rather than risk losing contracts [22][26]. - The overall environment of intense competition contributes to a culture where timely payments are not prioritized, further complicating the financial health of suppliers [20][26].