China and the Coronavirus: Where Are We Now

The outbreak seems to be slowing down, but it might be too early to celebrate.

Economic News
2020年2月28日

It has been almost three months since the novel coronavirus first appeared in Hubei province in China. With over 80,000 people infected and nearly 3,000 deaths, China has shouldered the greatest burden caused by the disease. Even as the virus reached other countries, none have been affected to the same degree. South Korea is the second country with most cases of Covid-19 but even there, the number of patients is about 40 times less than in China.

Right now it appears that China is standing at a crossroads when it comes to the epidemic. In the beginning, the government used the Lunar New Year festival as an excuse to prolong the official vacation days and keep businesses closed. Additionally, the government disabled public transportation in many regions to limit people’s mobility and the potential for spreading the virus, as the holidays typically encourage travel.

Even after the festivities were over, many factories remain at limited capacity. Foreign companies such as Google have prioritized the health of their employees over labor and productivity. Apple recently disappointed investors by stating that it will likely fail to grow at the rates predicted earlier due to all of the interruptions in China.

Nevertheless, the number of newly registered cases in China appears to be dropping, causing many to believe that the outbreak is past its peak, at least within the country. And with that, many provinces are beginning to scale back on security measures and encourage people to come back to work.

Still, many experts warn that this is not the correct policy. Jumping back to normality at the first small sign of improvement (which may be temporary) could lead to more danger. Since very little is known about the disease and a vaccine is still not available, some doctors are worried there might be a second wave, one which catches China unprepared if the prevention measures are loosened too quickly.

Anna Sneider

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