Browsing: Coronavirus epidemic

China is dominating the global creative goods and services trade beating the US and Japan and European countries like France and the UK.

China has become the central manufacturing hub of many global business operations and any disruption in its output is expected to have repercussions elsewhere through regional and global value chains.

With the Asian country being an important cog in the wheels of production worldwide, the outbreak of coronavirus in Wuhan has affected many companies with China’s Manufacturing Purchasing Manager’s Index (PMI), a critical production index, falling by about 22 points in February.

According to UNCTAD, this index is highly correlated with exports and such a decline implies a reduction in exports of about 2 per cent on an annualized basis.

Considerable impact on the economy and society

In other words, the drop observed in February spread over the year is equivalent to -2 per cent of the supply of intermediate goods, adds the UN’s trade body.

On February 23, 2020, China’s President Xi Jinping, in a televised address said, “It …