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New Threat Emerging For Retailers

China’s COVID-19 outbreak has flared up on its south coast, and its sure to cause more headache for retailers and manufacturers alike.

Shenzhen has been hit with mass testing and the lockdown of numerous areas, which is bad news given its importance as one of the world’s biggest technology manufacturing hubs.

Main iPhone maker Hon Hai Precision Industry Co. has its factories located in the city — which is often nicknamed iPhone City due to the importance of this region to Apple — as does Huawei. Neither company has been impacted as yet, but given China’s fierce lockdown policies, it is only a matter of time.

The Port of Shenzhen is the world’s fourth busiest container port, further complicating global supply chain issues.

Isolation orders have already been imposed for the Futian and Luohu districts that border Hong Kong.

Hong Kong posted 1,186 new local infections on Monday.

 



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