Now this will be fun - supply-chain "issues"

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From Bloomberg:

The ‘Mother of All’ Supply Shocks Lurks in China’s Covid Crackdowns
The world economy could be headed for the “mother of all” supply chain stumbles.

That’s the warning from HSBC economists who caution that if the highly infectious omicron variant which is already swamping much of the global economy spreads across Asia, especially China, then disruption to manufacturing will be inevitable. “Temporary, one would hope, but hugely disruptive all the same” in the next few months, they wrote in a research note this week.

China is the world’s biggest trading nation and its ability to keep its factories humming through the pandemic has been crucial for global supply chains.

While the outbreak of omicron in China is small compared with its Western peers, authorities are taking no chances. In recent weeks scattered infections of both the delta and omicron variants have already triggered shutdowns to clothing factories and gas deliveries around one of China’s biggest seaports in Ningbo, disruptions at computer chip manufacturers in the locked-down city of Xi’an, and a second city-wide lockdown in Henan province Tuesday.

And the fun begins.  It would be prudent to maintain a couple months supply of food staples.  Consider gardening - fresh greens are a lot healthier and more appetizing when served along with your beans and rice.  Looking to get any new cheap chinesium?  Get it now before prices skyrocket.

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This page contains a single entry by DaveH published on January 14, 2022 4:44 PM.

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