Hyderabad: Outbreak of coronavirus (COVID 19) in China is crippling the global economy, including that of India.
Dominance of China over global manufacturing supply chain and high reliance on ‘Made In China’ products like toys, auto spare parts, pharmaceuticals is going to cost the Indian economy in coming months.
As per the latest data available, China is the second largest trading partner for India.
In April-December 2019-20 India-China two-way trade was pegged around USD 65 billion with India importing more than what she exports to China.
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To sustain the trade momentum, it is essential for China to continue to operate factories at the pace of the pre-coronavirus period.
Automakers and other factories are reopening, but analysts say they won’t restore normal production until at least mid-March.
Manufacturers are facing a shortage of workers after millions who visited their hometowns for the Lunar New Year holiday were stranded there by the suspension of plane, train and bus services.
As per a survey of the American Chamber of Commerce in Shanghai 78% of the 109 companies reported that they lacked sufficient staff to run production lines.
It has become very important for China to lift the transportation curbs and allow movement of people to restart production activities hit due to coronavirus outbreak.
(With inputs from AP)
