Weather Chills China's Economy

Snow and cold have crippled transportation on the mainland, leading to higher inflation and power shortages that are bound to slow exports
Winter swimmers walk past a stranded ship on the beach of the Yangtze River in the central Chinese city of Wuhan. China Photos/Getty Images

Jeffrey Schwartz, the CEO of McDonald's' (MCD) China operation, boarded a plane on the morning of Jan. 28 in Shanghai for what should have been a routine flight to Beijing. But with some of the worst winter weather in memory hammering the country's transportation network, there are no routine flights in China these days. Schwartz didn't arrive in the Chinese capital till that night. "That hour-and-45-minute journey took me 12 hours," he says. "It was the snow."

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