Shanghai Lockdowns Take a Toll on the Economy

Shanghai Lockdowns Take a Toll on the Economy

China Crashes It’s Own Economy

(TruthandLiberty.com) – Over the last two years, COVID-19 hit China especially hard as the communist regime locked down cities to prevent the spread of the disease. Many of the country’s cities seesawed between returning to normal to fully closing in the last year, only to return to normal again when China enacted a zero-COVID policy. In China’s financial hub city of Shanghai, the city finds itself locked down once again.

Shanghai is China’s largest city and the communist government’s economic hub. On Saturday, May 21, Reuters reported Shangai’s Jingan district required supermarkets and shops to close and ordered citizens to stay home until at least Tuesday. The district plays a vital role in the nation’s economy. Still, the New York Times said schools, gyms, theaters, and other venues remain closed. Additionally, officials have pulled exit permits previously granted to citizens and forced people to stay home.

On Monday, a report said Shanghai saw a 10% drop in new cases over 24 hours, and no infections outside the quarantine zone surfaced for three straight days. Regardless, China and the global economy could still face painful economic impacts due to the quarantines. Shanghai is the world’s busiest shipping port and a major aviation hub. The COVID-19 lockdowns are increasing port delays, and air freight costs are soaring due to the demand to move goods. The Shanghai lockdowns are likely to worsen the global supply chain crisis.

Stay tuned. This story could change quickly.

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