On September 15th， according to reports from Xinhua News Agency and CCTV News， to promote the automotive industry’s implementation of the “Regulations on the Payment of Amounts for Small and Medium-sized Enterprises，” the automotive industry association has issued an initiative to standardize payment-related content within procurement contracts between vehicle manufacturers and suppliers.
A relevant official from the Ministry of Industry and Information Technology stated that this initiative specifies requirements for the delivery and acceptance of goods， the commencement of payment terms， reconciliation and settlement， and the payment of funds. For instance， it is clarified that the acceptance period for goods should not exceed 3 working days in principle， and it is advocated that both suppliers and buyers establish stable cooperative relationships with contract validity periods of no less than one year for each agreement.
Concurrently， the aforementioned official also remarked that the new energy vehicle industry in China is still in its nascent stages. The product structure， market scale， and industrial landscape are undergoing rapid evolution， and the supply chain system remains immature.
Delayed payment of accounts receivable by vehicle manufacturers will significantly increase the operational pressure on suppliers， directly impacting their reinvestment capabilities and hindering industrial technological innovation and the development of a robust supply chain system. This situation can create a ripple effect， potentially stifling the growth and competitiveness of smaller businesses within the automotive ecosystem.
Moving forward， China will implement a multi-pronged approach to foster a collaborative and mutually beneficial development ecosystem between vehicle assemblers and component suppliers， thereby promoting the healthy and sustainable growth of the industry. This includes fostering greater transparency in payment terms， encouraging early payment mechanisms， and potentially introducing credit enhancement programs for suppliers to mitigate financial strain.
It is noteworthy that the Chinese Society of Automotive Engineers’ initiative on standardizing payment practices between vehicle manufacturers and suppliers represents another significant step， following the cancellation of the “Sales Weekly Rankings” publication， the regulation of “assisted driving” advertising claims， the curbing of illegal “low-price disorderly competition” practices， and a special campaign to address “online chaos” within the automotive sector. This series of measures is designed to safeguard the long-term， high-quality development of the automotive industry.
