China's "zero tolerance" approach to COVID-19 outbreaks has led to measures to curb its worst surge since 2020 that will further disrupt global supply chains, The New York Times reported March 15.
At least five large factory cities have completely shut down because of the surge: Dongguan, Shenzhen, Changchun, Jilin City and Langfang. Lockdowns have also suspended work at electronics factories in the south and other industrial companies in central China. Cities not imposing lockdowns are encouraging citizens to work from home as much as possible.
Transportation is also being impacted in a number of ways. Ships are facing delays of at least 12 hours at the ports and may soon have to wait as long as two weeks, while many remaining international flights into Shanghai are to be rerouted to other Chinese cities from March 21 until May 1.
"Even the most prepared businesses will be impacted by these new lockdowns in China, as flexibility within the supply chain is minimal," Julie Gerdeman, CEO of Everstream Analytics, a supply chain analysis firm, told the Times.