Daimay subsidiary secures $10m advance insurance payment after factory fire

Shanghai Daimay Automotive Interior Co., Ltd. announced that its Mexican subsidiary, Daimay Automotive Interior, S de R.L. de C.V., experienced an accidental fire on May 11, 2025, at approximately 4:40 PM local time. The fire damaged a factory building, internal equipment, and inventory, with estimated losses totaling $3,375.10 million. Investigations confirmed the fire was not human-caused and Daimay Mexico adhered to safety regulations.

Daimay Mexico, which held an insurance policy with AXA Seguros, is pursuing a total insurance claim of approximately $46.28 million, comprising $10.20 million for the building and $36.08 million for equipment and inventory. The insurance company has completed preliminary reviews for the building claim and is actively processing the equipment and inventory claims.

To facilitate rebuilding efforts, Daimay Mexico applied for a $10.00 million advance payment, which is expected to be disbursed soon. The company stated that the fire has not significantly impacted its production or supply chain, due to prompt equipment reallocation and customer support, ensuring normal operations and preventing contractual defaults. The final insurance compensation is anticipated to cover the full extent of the accident's actual losses.