Affected by shortages and port disruptions, China’s factory activity growth continued to slow in June.
The index is still above the 50-point mark, separating expansion from contraction.
An outbreak of COVID-19 infection in a major shipping port earlier this month resulted in restrictions Interruption of port activities, Increased waiting time and increased transportation costs.
Guangdong Shekou, Nansha, Chiwan, Yantian and other ports will issue notices of prohibition of ships without prior appointment. Guangdong accounts for approximately 24% of China’s total exports and is home to the port cities of Shenzhen and Guangzhou, which rank third and fifth in the world in terms of container throughput, respectively.
The shortage of chips and power supplies also slowed down the expansion of production.