China Company Registrations Plummet During Covid Lockdowns

  • Economist warns China could face ‘lost generation’ of firms
  • New companies seen as key to China’s productivity growth

Motorists travel along a road past barriers during restrictions in Shanghai, on June 13.

Photographer: Qilai Shen/Bloomberg
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China’s new registrations for companies have fallen sharply in recent months, a sign of how the country’s coronavirus lockdowns could have long-term implications for economic growth.

Some 2.3 million businesses were registered nationwide from March through May, down 8% from the same period a year earlier, according to data from Chinese company registration service Tianyancha. April saw the steepest drop at close to 19%.