China anti-virus curbs spur fears of global economic impact

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China anti-virus curbs spur fears of global economic impact
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Anti-virus controls that have confined millions of Chinese families to their homes and shut shops and offices are spurring fears of further damage to already weak global business and trade.

in the past three weeks and the daily average is rising, the government said Tuesday, adding to pressure on officials who are trying to reduce economic damage by easing controls that confine millions of people to their homes.

China’s infection numbers are lower than those of the United States and other major countries. But the ruling party is sticking to “zero COVID,” which calls for isolating every case, while other governments are relaxing travel and other controls and trying to live with the virus. China is the world’s biggest trader and the top market for its Asian neighbors. Weakness in consumer or factory demand can hurt global producers of oil and other raw materials, computer chips and other industrial components,and consumer goods. Restrictions that hamper activity at Chinese ports can disrupt global trade.

Economic growth rebounded to 3.9% over a year earlier in the three months ending in September, up from the first half’s 2.2%. But activity already was starting to fall back. Businesspeople and economists see the changes in anti-virus controls as a step toward lifting controls that isolate China from the rest of the world. But they say “zero COVID” might stay in place until as late as the second half of next year.

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