In China, the easing of anti-Covid restrictions, particularly in Shanghai, is causing a rebound in industrial activity. A first for four months. The recovery is particularly rapid in sectors that had been affected by health measures.
With the resumption of work in companies and factories after the end of the confinements, production is rising again for the first time since February. This rebound in June is mainly due to the increase in activity in construction, but also in the hotel and catering industry and transport, rail and air, sectors severely affected by health restrictions.
China continues to apply a strict health strategy against Covid-19, in particular in the name of protecting seniors, who are relatively poorly vaccinated. Among the measures taken in this context: compulsory screening to go to public places or buildings, quarantines or even targeted confinements as soon as a few cases appear. China has just announced the halving of quarantine for international arrivals.
Growth objectives difficult to achieve
But this economic success was hailed by the government. Chinese President Xi Jinping has said his country would have faced unimaginable repercussions had it adopted the strategy of herd immunity. According to him, it is better to accept small temporary repercussions than to affect everyone’s safety and health. According to experts, his remarks imply that the policy “ zero-Covid should be continued, with a heavy toll on the economy. According to forecasts, Chinese growth could struggle to reach the 5.5% figure that Beijing wants this year.
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