Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your experience. Save up to 40% More details

European businesses fear more COVID disruption in China

Coronavirus May 16, 2022 08:31AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
© Reuters. Vehicles wait at the traffic lights on a road with little traffic in the Central Business District (CBD), amid the coronavirus disease (COVID-19) outbreak in Beijing, China May 14, 2022. REUTERS/Ryan Woo/File Photo

SHENZHEN, China (Reuters) - European businesses in China are awaiting the next wave of disruption from COVID-19 outbreaks and see little chance of improvement until the country increases vaccination rates, the European Chamber of Commerce in China said on Monday.

Shanghai has set out plans to end its COVID lockdown that has lasted more than six weeks, hitting China's economy, where industrial output and retail sales fell in April at the fastest in more than two years, missing expectations.

But even if Shanghai's lockdown is lifted next month, restrictions on the overseas travel of mainland citizens and the risk of further Omicron flare-ups are creating uncertainty, Chamber representatives from across China said during a roundtable.

"The outlook is quite gloomy," said Bettina Schoen-Behanzin, the chamber's vice president. "Business confidence has really taken a severe hit due to the ongoing erratic policies of the Shanghai lockdown."

"Many companies and individuals are seriously considering their China presence."

China says its zero-COVID approach is necessary to prevent the country's health resources from being overwhelmed.

Jorg Wuttke, the chamber's president, said it was highly unlikely that China's COVID problems would be resolved in the second half of the year, given the high transmissibility of the Omicron variant.

"When is China going to have a massive vaccination campaign or even operate a vaccination mix in order to create an environment where you don't have to lockdown because people have a certain amount of herd immunity?," he said. "We don't see any of that at this stage."

Foreign businesses were also shocked by the National Immigration Administration's announcement last week that it would "strictly limit" unnecessary overseas travels by Chinese citizens to minimize the risks of a resurgence in COVID-19 cases, he said.

"It's very ironic that we're striving to localise our management but then the management can't travel to our headquarters," Wuttke said.

European businesses fear more COVID disruption in China

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at’s discretion.

Write your thoughts here
Are you sure you want to delete this chart?
Post also to:
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
Sign up with Email