The strict zero-tolerance policy designed by the dominant Chinese Communist Party government to eradicate the outbreak of COVID-19 seems to have burdened China and reduced the global economic recovery.
Tang Jingyuan, an incumbent commentator with many years of clinical medical experience, said the Chinese Communist Party (CCP) is competing with the international community for a dominant and voice in epidemic prevention policies, the Chinese version of The Epoch Times. Told to. Now I’m obsessed with portraying China as a beneficiary of that tough move.
“this [the CCP] He promoted that zeroing model and shaped it as a symbol of the “superiority” of totalitarian rule of the government. This is the most important reason for the administration to insist on a zero policy, Mr Tan said.
Strict dynamic zeroing policies could not prevent the epidemic from occurring. Xi’An, with a population of 13 million, has been closed since December 22, 2021 due to the outbreak of the Delta variant.
In early 2022, in addition to the delta variant, Omicron-specific cases and local outbreaks occurred not only in Shanghai and the host city, but also in more than 20 states throughout China, including Zhejiang, Jiangxi, Guizhou, Pinglongjiang, and Guangdong. Occurred in the city. Beijing for the 2022 Winter Olympics.
China’s aggressive anti-COVID policy will continue to block the country for two years and will serve as the world’s number one political risk in 2022. Said Eurasia Group, a political risk consulting firm in the United States, reported on January 3rd.
According to the report, China’s “universal” approach will exacerbate global supply chain disruptions and put more pressure on inflation. “Transportation restrictions, the occurrence of Covid-19, staff, raw materials and equipment shortages will be exacerbated by China’s Zero-COVID policy, reducing availability of goods.”
CCP zeroing regulations are affecting the export processing industry of the country’s shipping ports. ROHM’s Tianjin plant, a Japanese semiconductor company, was forced to temporarily close on January 9, and no date has been set for reopening. in the meantime, Volkswagen in Germany When Toyota in Japan We also announced the suspension of production at the Tianjin plant due to closure management requirements.
Tianjin, with a population of 13 million, is a developing industrial port city. Authorities have not yet announced the blockade of the city, but Epoch Times reporters have interviewed many Tianjin residents over the past few weeks, Tianjin is basically blocked and residents are trapped in the living community. I confirmed that.Official [lockdown] Notice on TV, “said a doctor in Tianjin.
Xi’an, a semiconductor manufacturing town in China, has completed a 32-day lockdown and has had an unavoidable impact on the production of DRAM and NAND memory chips for smartphones, PCs and servers by Samsung in South Korea and Micron in the United States. .. ..
Japanese camera maker Canon announced on January 12 that it will close its production plant in Zhuhai City, Guangdong Province, a port city near Macau, due to “great operational difficulties” and “long-term outbreak of COVID virus.” This plant has been in operation in China for over 30 years.
Frank Luckart, China’s German ambassador, said travel and quarantine restrictions were two difficulties in trading with China. “There is uncertainty about the risks and potential disadvantages. [in China] For foreign companies and world trade that put pressure on the business environment. ” report January 18th South China Morning Post.
according to In a January 16 report by the Munich Personal RePEc Archive, a network of economists, German companies were forced to shut down production of essential intermediate supplies by imposing a strict lockdown on Germany’s largest importer, China. We faced a catastrophic supply shortage and even a crisis of shutdown. Includes car giants Mercedes, BMW and Volkswagen.
In an interview with the New Tang Dynasty Television Network on January 25, Dr. George Calhoon, director of the Quantitative Financial Program at Stevens Institute of Technology, said China’s zeroing policy sacrifices the economy in exchange for public health. Said it was an attempt. For highly contagious variants of Omicron, this policy is suspiciously effective.
In the last interview, Calhorn Said Signs of a slowdown in the Chinese economy can be seen in the continued recession of the stock market, but in other countries the market has skyrocketed significantly in the last year or two.
“”[China’s] Lockdown [policy] Finance … It will be one of the factors that has such a depressing effect on the valuation of Chinese companies. “
The Chinese Communist Party’s ruling system hides at least 170 times the number of infections and deaths, according to Calhorn’s quantitative calculations.
Burden on the world economy
At the World Economic Forum video conference on January 21, International Monetary Fund (IMF) director Cristalina Georgieva rarely criticized China’s “zeroing” policy and changed its preventive and administrative measures to Beijing. I asked you to do it. She said China’s current approach presents greater risk than profit.
She warned that the global outbreak of highly contagious Omicron would not only reduce the effectiveness of strict regulation, but would also burden both the recovery of the Chinese and global economies.
IMF release According to the January 28 annual assessment report, China’s strict blockade and precautions have kept consumer consumption low, the country’s economy is in a “prolonged weakness”, and consumption is the country’s economy. It is one of the main factors that drive. The IMF has also devalued its 2022 growth forecast for the Chinese economy from the previous 5.7% to 4.8%.
Goldman Sachs and Nomura predict that the CCP’s zeroing policy will continue until the end of this year, after the 20th Congress of the Communist Party. according to Nikkei Asia on December 28, 2021.
Mr. Tang Jingyuan has a similar view, and Chinese authorities are radical until the 20th parliament of the CCP, which is expected to spawn the next head of government, is convened due to concerns about political needs. It states that it will not abandon its epidemic eradication policy.
According to official Chinese media, the 20th CCP Convention was held in Beijing in late 2023, and authorities have begun to hold elections for 2,300 representatives by the end of June this year.