Supply chain resilience

As extreme heat intensifies, Chinese businesses are integrating employee health and safety management. Companies like Haier and JD.com are providing cooling measures – drinks, medicine, and protective gear – to factory workers, delivery riders, and service personnel. This shift from summer perks to systematic support, driven by rising temperatures and government guidelines aims to protect workers, maintain productivity and mitigate risks of heat-related illnesses, ultimately impacting supply chain resilience and operational efficiency.

XPeng Motors has standardized a 60-day payment cycle for suppliers to enhance supply chain resilience, as confirmed by Chairman He Xiaopeng. He stated the change follows extensive internal deliberation and requires operational discipline, positioning it as a sustainable industry improvement. The policy aligns with commitments from 17 major automakers who recently pledged 60-day supplier payment windows, underscoring growing industry recognition of vendor liquidity’s importance.

Lenovo CEO Yang Yuanqing reiterated China’s role as its core manufacturing base, citing unmatched cost-efficiency and supply chain integration, while pursuing a “China+N” global production strategy to address geopolitical risks. Over 70% of core manufacturing remains in China, but the firm has expanded to 30 facilities across 12 countries since 2020, balancing localized needs with cost control. This hybrid approach drove record FY2024/25 revenue of ¥498.5 billion ($69.2 billion), up 21.5% annually, and a 36% profit surge. Analysts highlight Lenovo’s model as a blueprint for multinationals combining China’s manufacturing strengths with global risk diversification amid shifting trade dynamics.