Up to Three-Quarters of Chinese Workers Infected... Factories and Ports Paralyzed

On the 6th, a worker wearing protective clothing is walking near an Air China passenger plane at Beijing International Airport in China.
[Image source=Reuters Yonhap News]

[Asia Economy Reporter Kim Daehyun] Following the sudden easing of quarantine measures, COVID-19 has rapidly spread in China, causing severe disruptions in operations at major factories and ports.

On the 5th (local time), according to a report by the US CNBC, Hong Kong logistics company HLS sent a letter to customers stating that "half to three-quarters of China's labor force have been infected with COVID-19 and are unable to work," adding that "many manufacturers are not operating properly and are producing below optimal capacity."

They also expressed concern that "due to this, factories have been canceling or postponing (cargo transport) bookings from late January to early February, and the volume is expected to be significantly low after the Chunje (Chinese New Year) holiday."

Ports are also facing shortages of port and container truck workers. MarineTraffic, a ship tracking site, reported that "after the lifting of zero-COVID restrictions, the volume of vessels waiting outside Shanghai Port in the first week of this year reached 321,989 TEU (equivalent to one 20-foot container), marking the largest scale since April last year." It also stated, "Congestion at Ningbo and Qingdao ports continues to rise, with waiting vessel volumes at approximately 273,471 TEU and 277,467 TEU, respectively."

Allen Bear, CEO of logistics company OL USA, said, "We need to consider additional COVID-19 spread after Chunje," and predicted, "The first quarter of this year will be a testing ground."

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