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Coronavirus: China’s firms face grim reality as help from Beijing could take too long to trickle down

  • Tens of millions of small businesses across China face an uncertain future as the extended slowdown after the Lunar New Year weighs heavily
  • China’s central bank has pumped trillions of yuan worth of additional liquidity into the banking system, but analysts and merchants say the measures are not enough

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While Beijing is keen for normal economic activities to resume, many local restrictions intended to contain the spread of the virus have remained in place, making it impossible for people like Yang to resume operations. Photo: EPA
Frank Tangin Beijing

Yang Liu, a logistics company manager in Chongqing, has been closely following the coronavirus outbreak with the fate of her business at stake.

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With roads blocked and staff under lockdown, her delivery service has been put on hold for over two weeks, and there is little sign that business will be able to return to normal soon.

“We can’t earn a dime if business can’t resume,” she said from the sprawling municipality on the upper stream of the Yangtze River in central China.

While Beijing is keen for normal economic activities to resume, many local restrictions intended to contain the spread of the virus have remained in place, making it impossible for people like Yang to resume operations.
The Chongqing side requires them to be quarantined for 14 days once they are back [at work]. How can we start operation?
Yang Liu

“Many of my workers are from [the neighbouring province of] Sichuan … and the Chongqing side requires them to be quarantined for 14 days once they are back [at work],” Yang said. “How can we start operations?”

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