The shutdown has hit the economy and disrupted supply chains (Getty)
Companies started among them TeslaToday, Monday, it is preparing to reopen its factories in Shanghaiwhere the most populous city in China Efforts to return to normal life, following nearly three weeks of closure due to COVID-19.
Two sources told Archyde.com that Tesla has recalled workers to its Shanghai factory in preparation for restarting. SAIC Motor, the Chinese partner of Volkswagen and General Motors, announced that it will begin testing plans to resume production on Monday.
Lockdowns and pandemic control measures elsewhere in the country have hit the economy and disrupted global supply chains.
Chinese automakers warned last week that they might have to suspend production if the COVID-19 lockdowns continued in Shanghai, and the head of China’s Xpeng Electric Vehicle Company said companies might have to suspend production next month if suppliers might not. In Shanghai and surrounding areas resume work.
Richard Yu, head of Huawei’s Consumer and Automotive Division, confirmed on the social platform WeChat, “If Shanghai remains unable to resume work and production from May, all technology and industrial companies that are part of the supply chain in Shanghai will be closed. Especially in the auto industry!
The giant shipping companies have also warned that the closure of Shanghai is leading to congestion at the world’s most important container port.
The economic city’s 25 million residents suffer income losses, food shortages, family separation and poor conditions in quarantine centres.
Meanwhile, Shanghai aims to stop the spread of COVID-19 outside quarantine areas by Wednesday, sources told Archyde.com on Sunday, an ambitious goal that will allow further easing of lockdown measures.
Shanghai is working to speed up the pace of examinations and transfer positive cases and those who were in contact with them to isolation centers to achieve this goal.
The lockdown in Shanghai and broader restrictions in China have had a major impact on the world’s second-largest economy during an important year for President Xi Jinping, who is expected to secure a third term in the fall.
March data released today, Monday, showed that consumption and employment were affected by Covid restrictions, and economists expected a decline in the general outlook for the economy.
(Archyde.com, The New Arab)
