MIIT and SAMR Tighten Rules on Automakers’ Supplier Payment Terms

China's Ministry of Industry and Information Technology and China's State Administration for Market Regulation jointly issued a notice on September 7 to standardize how automakers pay suppliers and manage payment terms, according to Jiemian News. The notice says payment terms should start from the date a supplier delivers goods, projects or services and passes acceptance, and that acceptance for production materials such as parts should generally be completed within three working days, or within five working days for functional parts that require vehicle installation testing. It also encourages cash payments and says automakers should not force or indirectly force suppliers to accept bank acceptance bills, commercial acceptance bills or supply-chain bills instead of cash. The ministries said the move follows concerns that excessively long supplier payment periods have added pressure on suppliers and affected supply-chain stability; in June 2025, 17 key automakers publicly pledged to keep payment terms within 60 days. The China Association of Automobile Manufacturers said customs data showed China exported 1.092 million complete vehicles in July 2026, up 57.5% year on year, with export value of $18.98 billion, up 60.4%. From January to July, complete-vehicle exports totaled 6.399 million units, up 53.7%, with export value of $110.78 billion, up 54.9%. Imports in July fell 12.8% year on year to 43,000 vehicles, while import value dropped 15.5% to $2.12 billion. From January to July, imports totaled 244,000 vehicles, down 10.9%, with import value down 18.0% to $11.56 billion. China Passenger Car Association Secretary-General Cui Dongshu said 31 pure electric models cut prices in January-August 2026, 33 fewer than a year earlier. He said 100 models cut prices in the period, down 36 from a year earlier, and that the average price cut for new-energy vehicles was 11.5% in January-August and 17.8% in August. Separately, Hongmeng Zhixing said the Aito M6 has delivered more than 50,000 units since launch, while Tesla said it is offering limited-time cash incentives of at least 5,000 yuan on Model 3 inventory cars and 10,000 yuan on Model Y inventory cars through September 30, 2026. Jaguar Land Rover China said it has no plan for organizational optimization in China despite reports of global layoffs, and Dongfeng Motor said its subsidiary Shenlong Automobile raised registered capital to 8.818 billion yuan from 7 billion yuan.