China is once again suffering a wave of COVID-19 infections , especially in the southern city of Shenzhen , a key point not only for having the fourth port with the largest container traffic in the world , but also for being the Chinese technological capital par excellence. . This new wave of coronavirus infections has caused local authorities to decree a confinement that, in practice, paralyzes industrial activity in the city until (at least) March 20. Port logistics activity remains, for the moment, active. But that will not avoid the impact of this measure on the global supply chain. Shenzen, the Chinese Silicon Valley Some experts have baptized the gigantic city of Shenzhen ( million inhabitants) as “the Silicon Valley of China” , for being the electronic technology manufacturing heart of the planet and home to giant Chinese companies such as Huawei, Tencent, OPPO and ZTE .
Thus, the confinement and blockade of industrial activity in the city could have important consequences for the technology sector, including shortages of technological components and devices worldwide. In fact, Foxconn , one of the main suppliers of Apple and Samsung and the main assembler of the iPhone , has announced the temporary suspension of its production lines at its Shenzhen factory, which would representJob Function Email List a potential shortage of components for different technological products. Others greatly affected by confinement in the city could be Intel, Toyota or Volkswagen, which also have large local suppliers. And all this in the middle of the global chip supply crisis. What impact would closing the port have? Faced with this situation, the Seko Logistics company has warned its clients about the impact that the closure of the port of Yantian would have on shipping traffic by sea.
Similarly, other companies such as Worldwide Logistics Group and Orient Star Group have warned about a possible interruption of port commercial activity in Shenzhen. The alert note issued by Seko and published last Sunday explained that, due to the restrictions, “cargo packaging will not be possible in Yantian… and it is most likely that ships will ignore disembarking at the port . ” However, on Monday afternoon Seko issued a corrected notice. “We have been informed that Yantian port terminals are operating, loading and transporting cargo ,” the statement said. For its part, transportation restrictions for vehicles traveling in and out of Shenzhen remain in force, which could slow down the supply chain because cargo cannot be brought in from outside the restricted area.
Shenzhen, a new shaky link in the global supply chain
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Re: Shenzhen, a new shaky link in the global supply chain
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