{"id":24355,"date":"2022-12-19T07:02:40","date_gmt":"2022-12-19T07:02:40","guid":{"rendered":"https:\/\/mailinvest.blog\/index.php\/2022\/12\/19\/world-braces-for-supply-chain-issues-as-china-catches-covid-the-register\/"},"modified":"2022-12-19T07:02:40","modified_gmt":"2022-12-19T07:02:40","slug":"world-braces-for-supply-chain-issues-as-china-catches-covid-the-register","status":"publish","type":"post","link":"https:\/\/mailinvest.blog\/index.php\/2022\/12\/19\/world-braces-for-supply-chain-issues-as-china-catches-covid-the-register\/","title":{"rendered":"World braces for supply chain issues as China catches COVID \u2022 The Register"},"content":{"rendered":"<p> <a href=\"https:\/\/go.fiverr.com\/visit\/?bta=1052423&nci=17043\" Target=\"_Top\"><img loading=\"lazy\" decoding=\"async\" border=\"0\" src=\"https:\/\/mailinvest.blog\/wp-content\/themes\/breek\/assets\/images\/transparent.gif\" data-lazy=\"true\" data-src=\"https:\/\/fiverr.ck-cdn.com\/tn\/serve\/?cid=40081059\"  width=\"601\" height=\"201\"><\/a>\n<\/p>\n<div id=\"body\">\n<p>One of COVID-19&#8217;s many side effects was to disrupt the technology industry&#8217;s supply chains \u2013 especially when they linked to China.<\/p>\n<p>Beijing&#8217;s policy not to tolerate even small numbers of infections \u2013 and the resulting strict lockdowns and movement restrictions \u2013 meant its factories and transport infrastructure often operated well below capacity from 2020 to 2022.<\/p>\n<p>But in recent weeks China has stopped ordering shutdowns. Citizens who catch COVID-19 are required to self-isolate, but cities will stay open even as infection spreads.<\/p>\n<div aria-hidden=\"true\" class=\"adun\" data-pos=\"top\" data-raptor=\"condor\" data-xsm=\",fluid,mpu,\" data-sm=\",fluid,mpu,\" data-md=\",fluid,mpu,\">\n        <noscript><br \/>\n            <a href=\"https:\/\/pubads.g.doubleclick.net\/gampad\/jump?co=1&amp;iu=\/6978\/reg_offprem\/front&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=2&amp;c=2Y6AMkLwy84iiv-NYjrVoxgAAABA&amp;t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0\" target=\"_blank\" rel=\"noopener\"><br \/>\n                <img decoding=\"async\" src=\"https:\/\/mailinvest.blog\/wp-content\/themes\/breek\/assets\/images\/transparent.gif\" data-lazy=\"true\" data-src=\"https:\/\/pubads.g.doubleclick.net\/gampad\/ad?co=1&amp;iu=\/6978\/reg_offprem\/front&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=2&amp;c=2Y6AMkLwy84iiv-NYjrVoxgAAABA&amp;t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0\" alt=\"\"\/><br \/>\n            <\/a><br \/>\n        <\/noscript>\n    <\/div>\n<p>Experts predict that things will not go well.<\/p>\n<div aria-hidden=\"true\" class=\"adun\" data-pos=\"top\" data-raptor=\"falcon\" data-xmd=\",fluid,mpu,leaderboard,\" data-lg=\",fluid,mpu,leaderboard,\" data-xlg=\",fluid,billboard,superleaderboard,mpu,leaderboard,\" data-xxlg=\",fluid,billboard,superleaderboard,brandwidth,brandimpact,leaderboard,mpu,\">\n            <noscript><br \/>\n                <a href=\"https:\/\/pubads.g.doubleclick.net\/gampad\/jump?co=1&amp;iu=\/6978\/reg_offprem\/front&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=4&amp;c=44Y6AMkLwy84iiv-NYjrVoxgAAABA&amp;t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0\" target=\"_blank\" rel=\"noopener\"><br \/>\n                    <img decoding=\"async\" src=\"https:\/\/mailinvest.blog\/wp-content\/themes\/breek\/assets\/images\/transparent.gif\" data-lazy=\"true\" data-src=\"https:\/\/pubads.g.doubleclick.net\/gampad\/ad?co=1&amp;iu=\/6978\/reg_offprem\/front&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=4&amp;c=44Y6AMkLwy84iiv-NYjrVoxgAAABA&amp;t=ct%3Dns%26unitnum%3D426raptor%3Dfalcon%26pos%3Dmid%26test%3D0\" alt=\"\"\/><br \/>\n                <\/a><br \/>\n            <\/noscript>\n        <\/div>\n<div class=\"adun_eagle_desktop_story_wrapper\">\n<div aria-hidden=\"true\" class=\"adun\" data-pos=\"mid\" data-raptor=\"eagle\" data-xxlg=\",mpu,dmpu,\">\n                <noscript><br \/>\n                    <a href=\"https:\/\/pubads.g.doubleclick.net\/gampad\/jump?co=1&amp;iu=\/6978\/reg_offprem\/front&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=3&amp;c=33Y6AMkLwy84iiv-NYjrVoxgAAABA&amp;t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0\" target=\"_blank\" rel=\"noopener\"><br \/>\n                        <img decoding=\"async\" src=\"https:\/\/mailinvest.blog\/wp-content\/themes\/breek\/assets\/images\/transparent.gif\" data-lazy=\"true\" data-src=\"https:\/\/pubads.g.doubleclick.net\/gampad\/ad?co=1&amp;iu=\/6978\/reg_offprem\/front&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=3&amp;c=33Y6AMkLwy84iiv-NYjrVoxgAAABA&amp;t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0\" alt=\"\"\/><br \/>\n                    <\/a><br \/>\n                <\/noscript>\n            <\/div>\n<\/p><\/div>\n<p>According to Hong Kong University professor of epidemiology Ben Cowling, the Chinese population is skipping straight from containment to a &#8220;return to normal&#8221; without implementing interim mitigation measures.<\/p>\n<p>Cowling believes that jump may create chaos. &#8220;I hope there&#8217;s a plan for intense mitigation measures in China in the next one to two months, as part of the transition to living with COVID,\u201d he <a target=\"_blank\" href=\"https:\/\/twitter.com\/bencowling88\/status\/1602614386966814721\" rel=\"noopener\">tweeted<\/a>.<\/p>\n<div aria-hidden=\"true\" class=\"adun\" data-pos=\"top\" data-raptor=\"falcon\" data-xsm=\",fluid,mpu,\" data-sm=\",fluid,mpu,\" data-md=\",fluid,mpu,\">\n            <noscript><br \/>\n                <a href=\"https:\/\/pubads.g.doubleclick.net\/gampad\/jump?co=1&amp;iu=\/6978\/reg_offprem\/front&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=4&amp;c=44Y6AMkLwy84iiv-NYjrVoxgAAABA&amp;t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0\" target=\"_blank\" rel=\"noopener\"><br \/>\n                    <img decoding=\"async\" src=\"https:\/\/mailinvest.blog\/wp-content\/themes\/breek\/assets\/images\/transparent.gif\" data-lazy=\"true\" data-src=\"https:\/\/pubads.g.doubleclick.net\/gampad\/ad?co=1&amp;iu=\/6978\/reg_offprem\/front&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=4&amp;c=44Y6AMkLwy84iiv-NYjrVoxgAAABA&amp;t=ct%3Dns%26unitnum%3D426raptor%3Dfalcon%26pos%3Dmid%26test%3D0\" alt=\"\"\/><br \/>\n                <\/a><br \/>\n            <\/noscript>\n        <\/div>\n<p>Feng Zijian, a former director at the Chinese Center for Disease Control and Prevention, predicted at a Tsinghua University event two weeks ago that at least 80 to 90 percent of China&#8217;s population will eventually catch the virus, <a target=\"_blank\" href=\"https:\/\/news.sina.com.cn\/c\/2022-12-07\/doc-imqqsmrp8892684.shtml\" rel=\"noopener\">according to<\/a> state-sponsored media.<\/p>\n<p>Feng said mathematical models predicted the first post-rule relaxation wave would peak with the infection rate hitting a whopping 60 percent of the population. The US, which did not institute containment restrictions anywhere near as strict as those of China, <a target=\"_blank\" href=\"https:\/\/www.cdc.gov\/mmwr\/volumes\/71\/wr\/mm7117e3.htm\" rel=\"noopener\">hit a rate<\/a> of infections close to this (57.7 percent) only in February 2022 \u2013 a little over two years after the first case was reported on American soil.<\/p>\n<p>A study published by <i>Nature<\/i> in May 2022 <a target=\"_blank\" href=\"https:\/\/www.nature.com\/articles\/s41591-022-01855-7\" rel=\"noopener\">predicted<\/a> that in the six months following China ditching its COVID restrictions, its citizens will experience 112 million symptomatic cases, 1.6 million deaths and demand for intensive medical care 15.6 times greater than national capacity.<\/p>\n<div aria-hidden=\"true\" class=\"adun\" id=\"story_eagle_xsm_sm_md_xmd_lg_xlg\" data-pos=\"mid\" data-raptor=\"eagle\" data-xsm=\",mpu,dmpu,\" data-sm=\",mpu,dmpu,\" data-md=\",mpu,dmpu,\" data-xmd=\",mpu,dmpu,\" data-lg=\",mpu,dmpu,\" data-xlg=\",mpu,dmpu,\">\n            <noscript><br \/>\n                <a href=\"https:\/\/pubads.g.doubleclick.net\/gampad\/jump?co=1&amp;iu=\/6978\/reg_offprem\/front&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=3&amp;c=33Y6AMkLwy84iiv-NYjrVoxgAAABA&amp;t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0\" target=\"_blank\" rel=\"noopener\"><br \/>\n                    <img decoding=\"async\" src=\"https:\/\/mailinvest.blog\/wp-content\/themes\/breek\/assets\/images\/transparent.gif\" data-lazy=\"true\" data-src=\"https:\/\/pubads.g.doubleclick.net\/gampad\/ad?co=1&amp;iu=\/6978\/reg_offprem\/front&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=3&amp;c=33Y6AMkLwy84iiv-NYjrVoxgAAABA&amp;t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0\" alt=\"\"\/><br \/>\n                <\/a><br \/>\n            <\/noscript>\n        <\/div>\n<p>Complicating matters further is that China&#8217;s citizenry has not rushed to be vaccinated against the virus, and even those that have may not have strong protection.<\/p>\n<p>The country <a target=\"_blank\" href=\"http:\/\/www.nhc.gov.cn\/xcs\/gzzcwj\/202211\/9bb71c9c7d664fb0bbcd2b3eaaefcf84.shtml\" rel=\"noopener\">reported<\/a> around 30 percent of its population aged 60 years or older were not vaccinated as of mid-November.<\/p>\n<p>Some <a target=\"_blank\" href=\"https:\/\/www.sciencedirect.com\/science\/article\/pii\/S2666606522002693\" rel=\"noopener\">studies<\/a> have <a target=\"_blank\" href=\"https:\/\/docs.google.com\/viewer?url=https%3A%2F%2Facademic.oup.com%2Fcid%2Fadvance-article-pdf%2Fdoi%2F10.1093%2Fcid%2Fciac288%2F43959261%2Fciac288.pdf\" rel=\"noopener\">found<\/a> that China&#8217;s own vaccines are less effective than those used in other nations. One found that recipients of the Sinovac-CoronaVac or Sinopharm jabs were respectively 2.37 times and 1.62 times more likely to be infected that those who received Pfizer-BioNTech\/Comirnaty vaccinations.<\/p>\n<h3>The good, the bad, and the unknown<\/h3>\n<p>If Feng&#8217;s prediction is correct, China could see 60 percent of its 1.4 billion-strong population quickly catch COVID. That&#8217;s over 800 million people.<\/p>\n<p>What will that mean for supply chains?<\/p>\n<p>Initially, good things.<\/p>\n<p>&#8220;As China leaves a zero-COVID policy behind, in the immediate term, we expect this will bring some recovery to the factories&#8217; capacity, export and pressure relief to the workers,&#8221; Gartner senior director Teh Leng Tan told <i>The Register<\/i>.<\/p>\n<p>But as infections spread, the situation may worsen.<\/p>\n<p>&#8220;However, there are headwinds in the coming months that need to be monitored closely,&#8221; warned Tan.<\/p>\n<p>The sharp increase of an abrupt policy reversal could be exacerbated by increased travel during the Lunar New Year period come February.<\/p>\n<p>&#8220;If the number of COVID cases in China rises significantly over the next months, the workforce availability will be impacted, and the authorities could tighten the control measures. Hence, in the near term, China&#8217;s supply chain might be subjected to some disruptions before it stabilizes towards mid-2023.&#8221;<\/p>\n<p>With the IMF already reporting last October a <a target=\"_blank\" href=\"https:\/\/www.imf.org\/en\/Publications\/WEO\/Issues\/2022\/10\/11\/world-economic-outlook-october-2022\" rel=\"noopener\">slowing<\/a> of global growth from 6.0 percent in 2021 to 3.2 percent in 2022 and further to 2.7 percent in 2023, the world might just want to brace itself for China&#8217;s big change.<\/p>\n<p>The world has already seen how China can impact supply chains.<\/p>\n<p>In 2020 and 2021 many key tech commodities \u2013 from <a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2021\/08\/03\/networking_vendors_hit_by_supply_chain_component_shortages\/\" rel=\"noopener\">networking kit<\/a> to <a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2022\/01\/27\/samsung_4q21\/\" rel=\"noopener\">memory<\/a>, <a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2021\/10\/29\/chip_shortages_apple\/\" rel=\"noopener\">smartphones<\/a> and <a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2021\/06\/01\/automakers_pc_chip_shortage_explained\/\" rel=\"noopener\">semiconductors<\/a> \u2013 became harder to find, pushing up prices and making finished products hard to get.<\/p>\n<p><a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2022\/07\/28\/pc_shipments_on_largest_yearonyear\/\" rel=\"noopener\">PC shipments surged<\/a>, but <a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2022\/06\/02\/data_center_boom_in_danger\" rel=\"noopener\">datacenter construction stuttered<\/a>.<\/p>\n<p>Those early disruptions faded, only for 2022 to deliver shorter, sharper, shocks as individual cities such as <a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2022\/05\/30\/shanghai_lockdowns_to_end\/\" rel=\"noopener\">Shanghai<\/a> and <a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2022\/03\/21\/shenzhen_relaxes_covid_restrictions\/\" rel=\"noopener\">Shenzhen<\/a> shut down.<\/p>\n<p>China&#8217;s more relaxed policies mean shutdowns may be off the agenda. But it is foreseeable that tens or even hundreds of thousands of workers in China&#8217;s dense megacities will be absent with illness in coming weeks and months.<\/p>\n<p>Just how employers will keep remaining workers at their posts is not known \u2013 but employees are clearly tired of being corralled at work. Mega-manufacturer Foxconn&#8217;s Shanghai plants <a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2022\/11\/23\/foxconn_protest_iphone_factory\/\" rel=\"noopener\">erupted into protests<\/a> when workers were shut in their dorms in an attempt to contain existing COVID cases and keep iPhone production lines pumping.<\/p>\n<p>Protests of that sort, and others, are felt to have spurred Beijing to reset policy and put China on a path to living with COVID.<\/p>\n<p>The tech industry has, therefore, to some degree set in motion the changes the Chinese people \u2013 and those who depend on their efforts \u2013 will have to endure. \u00ae<\/p>\n<\/p><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\n<br \/><iframe data-lazy=\"true\" data-src=\"https:\/\/www.fiverr.com\/gig_widgets?id=U2FsdGVkX18x7XQvttUTrv1oEqmGNGTgvvCUiUoJ\/AP4z\/UyMz8lXGOLpu15jIMxBbTR0gmD5uBoFvhC4KWeALQRp3h\/X\/AwcVD0K8Wj9H\/ZzYKzcCNHosB9oS4SCJJFWiN85P9ICAc4OgCoE\/wHKIY7CDkf2\/DQ1vqGvk4smVe5cRDEmrLPCWi4FC8p40VUhSmWQ5udCm0zoJtorgWv3vbDQw0kKYkwn39ozAnQXDe+YvWMxkLFWA+O3TFwkJvdkIK+\/AUSnRssPKt5WHY0FhNOxnSPcLslEL4G4\/RfP95ve99U+kRnDy3X+KtzdQLY+u935ghON\/o3UE4IMv9oN6JX9RnxzL\/LRcOgnHigxStSGPKsZYtnz8RWNVT\/rOLAibqiWJadC5MYHRbekF3eg6FOGrQGkXYbsn0+a5aovnlLCbLwIqY9fcS17UX8J235iQ6cdmHNbrPeS84CMm34RA==&affiliate_id=1052423&strip_google_tagmanager=true\" loading=\"lazy\" data-with-title=\"true\" class=\"fiverr_nga_frame\" frameborder=\"0\" height=\"350\" width=\"100%\" referrerpolicy=\"no-referrer-when-downgrade\" data-mode=\"random_gigs\" onload=\" var frame = this; var script = document.createElement('script'); script.addEventListener('load', function() { window.FW_SDK.register(frame); }); script.setAttribute('src', 'https:\/\/www.fiverr.com\/gig_widgets\/sdk'); document.body.appendChild(script); \" ><\/iframe>\n<br \/><a href=\"https:\/\/go.theregister.com\/feed\/www.theregister.com\/2022\/12\/19\/china_supply_chain_living_with_covid\/\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>One of COVID-19&#8217;s many side effects was to disrupt the technology industry&#8217;s supply chains \u2013 especially when they linked to China. Beijing&#8217;s policy not to&#8230;<\/p>\n","protected":false},"author":1,"featured_media":20462,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"class_list":["post-24355","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tech-universe"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>World braces for supply chain issues as China catches COVID \u2022 The Register - mailinvest.blog<\/title>\n<meta name=\"description\" content=\"Technology is forever changing, and there are always new pieces of technology to replace obsolete ones. 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