‘Frost on Top of Snowfall’: Virus Piles Pressure on China’s Industrial Machine

SHANGHAI/BEIJING—The coronavirus is threatening to disrupt large parts of China’s manufacturing machine and its global supply chains as the spread of infection and strict public health measures force companies and workers to remain idle.

China’s most important holiday was due to end on Jan. 31, when many companies planned to get back to work after a week-long vacation, but authorities have ordered businesses in many areas to stay shut longer in a bid to contain the disease.

Widespread travel restrictions, meanwhile, mean millions of migrant workers may be unable to return to what has often been called the world’s factory floor.

The World Health Organization on Thursday declared the outbreak a global health emergency.

Brian Miller, 32, owner of Easy China Warehouse and a bluetooth speaker company in the southern city of Shenzhen, said labor and production disruptions could ripple through supply chains, from raw materials to final assembly.

“If we can’t get back to production quick enough, I’ll run out of inventory, and I’ll have a few months where we won’t be able to sell anything. And that’s the catastrophe that we all don’t want,” Miller told Reuters.

David Adams

Article URL : https://www.theepochtimes.com/frost-on-top-of-snowfall-virus-piles-pressure-on-chinas-industrial-machine_3222859.html