China’s Ministry of Industry, on Tuesday, said its wide-ranging measures to combat the coronavirus outbreak were creating confusion and problems for European companies’ operations.
The EU Chamber of Commerce in China reported that contradictory local rules had made it extremely difficult to restart work, after the Chinese New Year holiday, which had been extended due to the outbreak of coronavirus.
According to the chamber’s President, Joerg Wuttke, the magnitude of the challenge is enormous.
Supply chains are breaking down and shipments are being delayed, requiring massive amounts of paperwork.
Goods cannot be delivered to clients or consumers.
“It’s a logistical nightmare,’’ Wuttke said.
He, however, pleaded with the Chinese Authorities to better coordinate their actions.
“Stop having contradictory regulation across the country.
“The business side to the coronavirus crisis may well last until March.
“This is not over any time soon.
“We expect shortages around the world because of delayed parts from China.
“Getting goods out of China is challenging,’’ Wuttke said.
He noted that China’s pharmaceutical industry was also affected, and so, there could be a global shortage of antibiotics and other medicines.
Paul Sives, the Chairman of the chamber’s chapter in South-West-China, said the knock on effect was devastating.
“If this crisis goes on for another month or so, it will devastate small companies,’’ he said.