Even those companies in China whose factories are operating under so-called closed-loop systems may be forced to stop work due to parts shortages or logistical challenges that make moving people and goods around the country near impossible, a European chamber of commerce has warned.
“A few companies are running in closed-loop production now. Those companies are facing challenges and may shut down very soon due to lack of logistics and workers,” Maximilian Butek, chief representative at the Delegation of German Industry & Commerce in Shanghai said in a LinkedIn post Monday. “Their workers for closed-loop production have been working for more than three weeks and need to be replaced.”
