Great Wall Motor suspends Tank-brand output for a week to cool off as heatwave sears China

Tank is a premium SUV brand introduced in 2021, and Great Wall produces both petrol and plug-in versions. The brand’s sales account for over a fifth of its total.

The company, based in Baoding, north China’s Hebei province, said in a statement on Wednesday that all the three plants assembling the Tank vehicles would stop and customers could face delayed deliveries.

“As the temperature continues to rise, we plan to examine and maintain the manufacturing facilities at the Tank factories,” the statement said. “We apologise to our customers for the inconvenience caused by the production halt.”

The mainland has witnessed sweltering heat across the country this year.

About 20 regions, including Shanghai and its neighbouring province of Zhejiang, saw temperatures top 35 degrees Celsius on Wednesday.

Great Wall has become the first major carmaker on the mainland to announce a temporary production halt this summer because of inclement weather.

In the past, carmakers suspended production for a few days in July or August to give workers a break and to conduct safety inspections of their facilities. Some plants were even forced to suspend operations to avert an energy crunch during the summer.

“It is believed that all carmakers, particularly the electric vehicle (EV) builders, want to minimise the impact from the heatwave this year since competition is already fierce,” said Eric Han, a senior manager at Suolei, an advisory firm in Shanghai. “A severe shortage of supply, even in the short term, will cause customers to pursue other brands.”

China’s automotive sector, which is mired in overcapacity woes, is facing an uphill battle to improve profitability amid an escalating price war.

In June, Great Wall delivered 26,059 Tank-badged vehicles, an all-time high. The monthly sales represented a 104 per cent jump from the same period in 2023 and a 28.2 per cent rise from the previous month.

Tank did not provide detailed breakdowns of petrol and hybrid unit deliveries.

In the first half of 2024, Tank handed a total 116,038 vehicles to mainland buyers, up 99 per cent year on year.