Coronavirus impact on bike and gear production

[AUbicycles]

I understand that the public holiday in China is being extended as a result of the Coronavirus (maybe just in some provinces or by some business). China has significant bike and part production... so it is not just Taiwan (who generally have higher segment gear).

As the situation stands, there may be a slight impact on the supply-chain which can impact brand deliver. In the short-term, I don’t feel that the average bike rider will be impacted though it could impact availability / decisions (such as spec) in the longer term... even still, that won’t be noticed.

We are all hoping that the deadly virus is rapidly kept under control and stopped ( in Wuhan a massive medical facility (buildings) were constructed in 2 weeks), beyond the hit on the stock market, from a supply perspective, there are a lot of observers in different industry segment including the bike world who will be watching.

[opik_bidin]

https://www.bicycleretailer.com/interna ... j3kwcwtV6E



A&J has supplied brands including Trek, Bianchi, Scott, Felt, Rocky Mountain, Norco, and Kona in the past. BRAIN reported last year that Trek was moving some production from Giant to A&J's factory in Cambodia because of U.S. and European tariffs on Chinese imports.

"(In Vietnam) there is some anti-Chinese sentiment building, because of the potential of Chinese workers on site carrying CV (coronavirus)," Jon Edwards, the CEO of A&J Group, said in an email to customers late this week.

"We have heard today that some Vietnamese factories staff have initiated '2 week' strikes to effectively close factories where China staff are situated, to ensure there is no CV being spread to the local workers. We are concerned that this could spread in the coming days and could even affect our own area in Vietnam," Edwards told customers in an email obtained by BRAIN.

[AUbicycles]

As may be expected, this has impacted the Taipei International Cycle Show (Taiwan Bike Show) which is the big one for bike suppliers and trade. Planned for March 4 - 7 the show will essentially be cancelled.

[mikesbytes]

I've been following the situation in China closely as I know people directly affected. It seems they will try to keep people away from work as much as possible.

Deliveries within China have been prioritised, things like food and medicine has priority over non essential groups so even if stuff is manufactured there's still another hurdle.

Having said that, things will change