Effects of Coronavirus in China on Konica Minolta (Update)
February 14, 2020
Tokyo (February 14, 2020) – Konica Minolta, Inc. (Konica Minolta) and its Group companies have been responding to the coronavirus that broke out in Wuhan, China, as follows:
The Konica Minolta Group works on maintaining the health and safety of the people working for the Group and their families, making efforts to prevent the infection from spreading and carrying on with provision of products and services that can meet the needs of customers and society at large, in accordance with guidance and instructions of the Chinese and local governments, as well as those of the Japanese government. Under that policy, Konica Minolta launched its Group BCP (Business Continuity Plan) system on January 28.
1. Operations of Group companies in China
The Konica Minolta Group operates in China in development and manufacturing for the global markets, while selling business technologies products and services and healthcare equipment, among others, within the Chinese market. Though Konica Minolta has no development or production facilities in Wuhan, it has a sales and services branch for business technologies and measuring instruments there. Konica Minolta’s primary production facilities in China reside in Wuxi, Dongguan, and Dalian, all of which are away from Wuhan, with other manufacturing sites in Shanghai’s Songjiang District and Xiamen. The Chinese sales companies are headquartered in Shanghai. Sales and services branches spread across the country.
The operations in China resumed from February 10, after the government-instructed suspension had ended, except the branch in Wuhan. Some employees are working remotely from home.
2. Impact on Businesses
- Business Technologies
- For the company’s primary sector, Business Technologies businesses, their production facilities in China resumed the operations from February 10. The factories have been working closely with each supplier for procurement of parts necessary for production.
- The Group’s sales companies are well stocked, including on-hand inventory and on-board inventory shipped from China before the Lunar New Year holiday, and ready to meet the demand and orders from dealers and customers.
- As toner and other consumables are also widely available, from production in Japan and other countries outside China, the customers are able to keep using the Konica Minolta products with no interference.
- For other sectors, the Group are also making efforts so that the customers will be able to carry on with their operations.
3. Additional assistance for employees in China
Supporting the local employees’ needs for health and safety, the company has been working on providing masks and non-contact medical thermometer for the Group companies in China. Further efforts are being made in supplying additional masks to China.
Konica Minolta keeps a close eye on the outbreak’s development and update the notice if its responses are to go through a major change.