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China recorded a record level of Covid-19 infections on Thursday, nearly three years after the pandemic first emerged in the city of Wuhan. Cities across the country have imposed localized lockdowns and mass testing as public frustration grows. At the world’s largest iPhone manufacturing plant, workers have clashed with security personnel in unusual demonstrations.
The National Health Commission of China notified this Thursday, November 24, the detection of 4,010 new cases of Covid-19, although the country only counts infected people who present symptoms as confirmed cases. The total number of active infected with symptoms amounts to 26,813, of which 116 are in serious condition, in a total population of 1.4 billion people. It is estimated that about a quarter of the Chinese population is confined.
In the capital, shopping malls and stores were closed. The streets of Chaoyang, the most populous district of the city, are increasingly empty. Many Beijingers said they recently received notices of three-day closures on their homes and are already feeling financial hardship from the situation.
“How many people have savings to support themselves if things continue to stop (…) and even if they have money to stay at home every day, that is not real living,” said a Beijing resident on Thursday.
Massive tests are taking place in various cities across the country, while others, such as Beijing or Shanghai or Sanya, have also limited the movements of newcomers.
Large outbreaks are greatest in the southern city of Guangzhou and southwestern Chongqing. In others, such as Chengdu, Jinan, Lanzhou and Xi’an, hundreds of new infections are registered daily.
The Chinese leadership maintains its “zero contagion” policy, while much of the world tries to live with the virus. Authorities say it is necessary to save lives and prevent the medical system from being overwhelmed.
Clashes at the largest iPhone production plant
The Foxconn iPhone factory in Guangzhou has been under anti-Covid-19 restrictions for more than a month due to the increase in cases in its worker dormitories. Some employees had fled on foot a few weeks ago when the plant’s lockdown began, causing a labor shortage.
Hundreds of workers demonstrated Wednesday over a dispute over the amount of a promised bonus, clashing with people in white protective suits and riot police. Employees also criticize the “chaotic” living conditions at the center.
Although the government declined to comment on the facts, Foxconn apologized on Thursday, saying a “technical error” in its payment system was the cause of the problem with the rebates. The group also said that it “fully understands” the concerns of workers and that “the company will also do everything possible to proactively resolve reasonable concerns and requests from employees.”
The city of Guangzhou is the latest to resume daily testing for millions of residents. Those who live in the city center are no longer allowed to leave the area without a negative Covid-19 test and permission from local authorities, and are advised not to leave their homes “unless necessary”.
Economic consequences
Chinese stocks fell on Thursday on concern over the country’s record daily Covid-19 cases. Brokerage Nomura cut its full-year growth forecast to 2.8% from 2.9%, against China’s official target of around 5.5% for this year.
“We believe that reopening will likely be a protracted process with high costs,” Nomura wrote.
To cope with the pressure on the economy, Beijing announced that it would use cuts in banks’ cash reserves and other monetary policy tools to ensure sufficient liquidity.
The International Monetary Fund (IMF) praised this Thursday the “impressive recovery” of the Asian giant’s economy after the initial impact of the pandemic, but recalled that its growth “has slowed down and remains under pressure.”
According to the IMF, China could strengthen its economy with a “recalibration” of its zero tolerance strategy against Covid-19, including greater vaccination of the population.
With EFE, Reuters and AFP
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