corona virus- scale roads

The Coronavirus and its consequences

The Wuhan Coronavirus

The Wuhan Coronavirus originated, like the name, in Wuhan. Wuhan is the capital city of the centrally located province of Hubei. The virus, which first appeared in December 2019, is widely spreading across the Hubei province and other parts in China. At the time of this article being written, the 4th of February 2020, there are more than 20,000 people infected all over China and nearly 200 cases in other countries. The number of infected people is quickly rising and a good treatment for the virus has yet to be found. The virus can be, according to the World Health Organization, transmitted from person to person. With the measure to extend Chinese New Year (till 9 February), the authorities struggle to control the virus. During Chinese New Year, the Chinese people are traveling back and forth between the city or town where they are working and their hometown where their family is. This means that people are packed in trains, buses, cars, and planes to travel around, which means that the possibilities of getting infected and spreading the virus are much higher within this traveling period.

It’s hard to predict what the virus will do in the upcoming weeks. Some sources are saying the numbers will rise to at least 100,000; other sources are saying that it will be much less. The only thing we can do is follow the official news and hope for all the people within China, that they will overcome this crisis as soon as possible.

Consequences for business

The Chinese government has extended the Chinese New Year holiday till the 10th of February and this can still be extended. People are required to stay at home and have extra holidays or they can work from home; this is up to each company to decide. The Chinese government will remove these measures when the virus is more stable and under control.

Factories are not operating at the moment; domestic logistics are barely available and if they are operating, they are working for the government to supply medical assistance and life essentials such as food. If production is not continued in the short term, many of our clients and more companies will face stock shortages and delayed goods. Our team has contact on a daily basis with the production factories of our clients. If production is resumed, our team will make sure to get the best production times with their usual quality. If you are worried about your orders, contact our team and find out what the impact will be for you.

Moving to other production countries in Asia seems to be an option but could be difficult because of resources and the supply chain within those countries. Also, these other Asian countries are heavily dependent on materials and resources from China.

For now, let’s hope this virus will be stable and under control soon. It’s affecting the local and global economy. More importantly, let’s hope that the affected people will recover soon and that the families within China are healthy and safe. The Chinese government is working around the clock to overcome this virus and to come out of the crisis much stronger.