Coronavirus: Shanghai lockdowns spark fear, frustration among European firms about zero-Covid policy
- A snap decision by Shanghai authorities to lock down the city amid a virus outbreaks is putting strain on businesses, according to a European lobby group
- The restrictions are creating uncertainty by limiting production capacity and making it possible to plan only on a daily basis, EU Chamber of Commerce says
A two-stage coronavirus lockdown in the financial hub of Shanghai is raising fears among foreign investors that China will stick to its zero-Covid strategy longer than first thought, while putting pressure on businesses and making the country one of the last in the world to emerge from the pandemic.
“While the majority of G20 countries are exiting pandemic-related lockdowns, China appears to be stuck with its old toolbox of zero tolerance and draconian measures to fight Covid,” said Joerg Wuttke, president of the European Union Chamber of Commerce in China (EUCCC).
“We fear that we may be about to witness the beginning of an Omicron crisis across China.”
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Locked down in Shanghai: China’s biggest city grapples with its worst Covid outbreak since 2020
The city, which contributed 3.8 per cent of the nation’s gross domestic product last year, reported 3,500 new infections, including 3,450 asymptomatic ones, on Sunday.