COVID-19: 44% of factories remain shut until further notice

Feb 12, 2020 | Article, News

As the fight against the newly named COVID-19 virus continues, the daily increase in cases across China appear to be levelling off, a potential indication that the epidemic is reaching its peak. The Chinese Government see this as a positive catalyst, forecasting an end to the outbreak by April. Officials warn that the epidemic is still very much a “grave threat”, assuming that the statistical data may be inaccurate due to a variety of factors. Nonetheless, COVID-19 continues to shake the society, economy, and global supply chain to the core.

An estimated 70 million Chinese residents are still in effective quarantine across the country. Most factories in the Hubei & Zhejiang province, the two largest infected areas, are still held under strict control measures and remain shut until further notice. Other provinces including Jiangsu and Auhui are likely to see factories return to work between 17th – 28th February. Once work does commence, shortages of materials, haulage issues, staff isolation etc. are a likely scenario for most manufacturers. 

The flow of global supply chains is further restricted by way of logistics. BA &VS have suspended flights into parts of mainland China running up to the end of March. Affected by travel bans and quarantines, only 10% of truck drivers serving the Shanghai & Ningbo ports have returned to work, according to a Shanghai-based truck company.

Tedros Adhanom Ghebreyesus, Director General of the World Health Organisation (WHO) issued a statement on Twitter prior to the forum-Coronavirus meeting yesterday, calling COVID-19 a test of political, financial and scientific solidarity.

Uniserve are in constant contact with our colleagues and partners in China. We will continue to provide live updates as the situation develops.

If you require any specific updates please do not hesitate to contact the Uniserve team by emailing us at info@ugroup.co.uk

 

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