Workers making solar photovoltaic modules used for small solar panels at a factory in Haian, in China's eastern Jiangsu Province, on Jan. 7, 2022. STR/AFP via Getty Images
China has once again enforced drastic lockdowns, affecting at least 31 provinces and 134 cities right before the 20th meeting of the Chinese Communist Party Congress. The lockdowns are said to stem from a recent outbreak of COVID-19 in Xinjiang. A Chinese economist warned of a bleak outlook for the Chinese economy as the country saw its services index drop below 50 percent once again.
Caixin, a financial analysis media group, reported that China’s September Purchasing Manager Index (PMI) fell to 49.3 after a short period of recovery when Shanghai lifted its lockdown in May.
As the regime upscaled COVID-19 prevention measures to block the spread of the virus to Beijing before its rubber-stamp legislature meets Oct. 16, outbreaks were increasingly reported, with record-high cases throughout China.
Weak Market Confidence
On Oct. 8, Caixin reported that the rebound of outbreaks in various parts of China and escalated prevention measures caused China’s services sector to suffer again in September on top of weak supply and demand.
China’s market saw a slight recovery of demand in June, but it did not last long.
According to an analysis by Caixin’s senior economist, Wang Zhe, market confidence is low because of the continued unexpected outbreaks in various parts of China.
To boost the sluggish market, Wang recommended government policies promoting employment, as well as increased state subsidies.
On Sept. 26, China extended tax exemptions on purchases of new energy vehicles. The exemptions, which were scheduled to end in 2022, have been extended until Dec. 2023, in hopes of encouraging the automobile market.
A Tesla electric vehicle in Shanghai, China, on April 20, 2021. Aly Song/Reuters
‘Golden Week’ Spreads Virus
Xinjiang, with 20 million residents, has been battling COVID-19 since July and may be the source of the latest outbreak. The number of cities affected by the epidemic hit a record high, according to officials. On Oct. 9, there were 1,939 locally transmitted cases across China, the highest since Aug. 20, according to a Reuters report.
Liu Sushe, vice chairman of the Xinjiang Autonomous Region, apologized on Oct. 4 for the “fastest, widest, and largest” pandemic in Xinjiang’s history.
Liu admitted that Xinjiang’s containment measures were not effective.
Travelers during the October “Golden Week” national holiday were blamed for the latest outbreak of cases throughout the nation.
Xinjiang issued tough containment policies, with the entire region going into a strict lockdown: residents were confined to home and all public transportation was suspended. Further, 97 percent of outbound flights and 95 percent of inbound flights are canceled, according to a report by Radio Free Internationale on Oct. 6.
In a tragic sign of the chaotic lockdown measures, at least 13 Uyghurs died in late September in a village of the Xinjiang region, poisoned by disinfectant sprayed around the homes of residents. Radio Free Asia said local residents and officials confirmed the deaths. Radio Free Asia added that thousands of additional residents were said to have been poisoned by the disinfectant.
A man wearing protective gear checks his mobile phone at a subway station, after the COVID-19 lockdown was lifted in Shanghai, China, on June 2, 2022. Aly Song/Reuters
Chaos Amid Nationwide Lockdown
Outside of Xinjiang, strict and chaotic containment policies engulfed the rest of the country.
In Fuyang, a city in the south China province of Anhui, the lockdown began without an official announcement. Consequently, two million local residents were suddenly isolated at home, along with uninformed tourists.
According to the Radio Free Asia report, the lockdown was not revealed until netizens posted online that tourists continued to pour into the city even after the city had been in lockdown for five days.
Tourists were funneled to costly high-end hotels designated by the authorities.
In Shanghai, which reported 34 local cases on Oct. 9, some districts closed leisure and entertainment venues.
Mary Hong
Author
Mary Hong is a NTD reporter based in Taiwan. She covers China news, U.S.-China relations, and human rights issues. Mary primarily contributes to NTD's "China in Focus."
