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Western multinationals sound alarm over China’s Covid lockdowns

Mount Equity Group Tokyo Japan > News > Markets > Western multinationals sound alarm over China’s Covid lockdowns

Covid-19 lockdowns across China are shaking western multinationals’ production lines, snarling supply chains and threatening financial forecasts as Beijing steps up its effort to contain a surge in coronavirus cases.

Apple, Coca-Cola, General Electric and Pernod Ricard were among the companies to warn this week of the threat from the spreading lockdowns in the world’s second-largest economy, with many more blaming the strict measures for higher costs, shortfalls in their latest results and more cautious outlooks.

An extension of the policies designed to curb the spread of coronavirus has gathered pace in recent weeks, leaving about 345mn people living under full or partial lockdowns across 46 cities, according to estimates from Japanese bank Nomura.

The lockdown of Shanghai, China’s business hub and home to the world’s largest port, has deepened the disruption, ensnaring industries from carmakers to consumer goods and…

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