24 April 2022
DAVID ICKE — More than 30 firms producing crucial electronic components have had to halt production in Kunshan, a city which is close to Shanghai. The lockdown rules affecting Shanghai have now spread to Kunshan.
These shutdowns will severely damage China’s already slowing economy.
But it isn’t just China which will be affected.
The factories which have had to shut make a variety of electronic products – including printed-circuits, flat screens, lens and so on.
The result of their closure will be a global shortage of components. Factories everywhere will have to shut down.
So the unemployment problem will grow.
Is this the Real Reason for the Shanghai Shutdown?
Second, the World Trade Organisation has finally realised the extent of the global problem (as predicted here an aeon ago). It has cut its goods trade growth forecast by a third because of the shortage of commodities caused by the war in Ukraine and, more importantly, the sanctions brought in by Biden, Johnson et al. […]