US Panic Buying Reaches Baegakwan... Companies Urge Export Regulation Measures

Empty shelves of toilet paper and sanitizers at Walmart in the United States
[Image source=Yonhap News]

[Asia Economy New York=Correspondent Baek Jong-min] As the national emergency was declared due to the novel coronavirus infection (COVID-19), panic buying of daily necessities intensified across the United States, prompting the White House to describe it as an unnecessary act.

Meanwhile, companies expressed concerns about the possibility of countries around the world imposing export restrictions on food and other daily necessities as well as COVID-19 related products, and called for measures from the U.S. government.

On the 15th (local time), the White House issued a press release stating that President Trump held a conference call with CEOs of major grocery stores and supply chains, requesting them to ensure that daily necessities remain stocked on store shelves.

[Image source=AP Yonhap News]

The White House further emphasized, "All CEOs are working hand in hand with the federal and state governments to ensure that food and daily necessities are continuously supplied," adding, "The U.S. supply chain is strong, and it is unnecessary for the American public to hoard daily necessities." Thirty CEOs from major U.S. retailers such as Walmart, Whole Foods, and Target, as well as small and medium-sized stores, participated in the call.

This can be interpreted as an example showing how serious the current panic buying situation is, to the extent that the White House deemed it necessary to intervene directly.

Since the declaration of the national emergency, large crowds have flocked to major supermarkets and grocery stores across the U.S. over the weekend to purchase bottled water, toilet paper, disinfectant products, emergency food, and daily necessities, causing stock shortages and significant confusion in stores. In Walmart's case, the shortage of time to restock shelves even led to a decision to shorten business hours.

Companies expressed concerns about supply shortages due to difficulties in imports and demanded government measures. The U.S. Consumer Goods Association sent a letter on the same day to Secretary of State Mike Pompeo and U.S. Trade Representative Robert Lighthizer, urging actions to respond to export restrictions imposed by countries worldwide on food as well as products necessary to combat COVID-19.

The association argued that export bans should be reviewed to determine whether they violate trade agreements and that appropriate measures should be taken. Additionally, they requested the removal of tariffs on related products to reduce the burden on distributors.

This content was produced with the assistance of AI translation services.