The Shanghai lockdown exemplifies the Chinese government’s anti-Covid campaign quite effectively. A new era is emerging in the supply chain, and businesses must learn to deal with it very quickly.
Having Covid-19 case monitoring and staying current on the internal policies of the country’s key economies will help you predict scenarios like this. Shanghai, China’s largest metropolis, for example, is facing a lockdown due to 3,450 asymptomatic cases and only 50 symptomatic ones. Keep in mind that this is a city of 26 million people.
How does Lockdown work in Shanghai?
The lockdown will be done in two phases for mass testing. First, the east of the Huangpu River and subsequently west of the Huangpu River; each lockdown will last five days. Even though the Shanghai port claims it would operate at full capacity throughout the lockdown, delays are unavoidable.
And besides, all businesses and industries will have to close, you can only leave by automobile to make necessary journeys, and road access to the city is severely limited, due to both road closures and negative testing requirements in the last 48 hours. Many logistics companies in Shanghai have already stated that they will no longer accept freight during the shutdown.
South China ports were relatively normal during the recent Shenzhen lockdown. However, yard congestion and ship lines built up due to identical infrastructure limitations to those presently in Shanghai.
Shanghai Waigaoqiao Shipyard (SWS), one of China’s major shipyards, is also located in the city, and the shutdown of manufacturing and industrial facilities could cause delays in new buildings under construction at the yard.
Access the new era of the supply chain
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