Beijing tightens the rules on how carmakers pay their suppliers

China's industry ministry (MIIT) and market regulator (SAMR) introduced rules on 7 September to control how long carmakers take to pay suppliers. They set clearer start points for payment periods and deadlines for accepting deliveries, and they discourage pushing suppliers to take commercial bills or other non-cash instruments. Carmakers must file supplier payment reports every half year and every year, and regulators will hold joint interviews with companies found at fault. Major carmakers had earlier pledged to pay suppliers within 60 days.

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