(Slay News) – The Chinese Communist Party (CCP) has locked down the port of Yiwu City in East China, the world’s largest wholesale hub, according to reports.
China placed Yiwu, a city of 1.85 million people, under lockdown in response to a new outbreak of COVID-19.
Meanwhile, the CCP has also placed the city of Sanya on the island of Hainan in the South China Sea, also known as “China’s Hawaii,” under lockdown.
The new lockdowns are renewing fears of massive global disruptions in trade and supply chains.
After reports of new infections in the country, COVID-19 spread in Yiwu before spreading to other towns nearby.
By August 4, a total of 135 cases were reported.
The Chinese regime had been accused of underreporting the number of cases in the country since the pandemic started.
The new wave of COVID-19 infections in the city comes from the Omicron variant BA.5.2.
Medical authorities insist that the new variant is “more infectious.”
A series of control measures were put in place by Yiwu authorities, throwing the city into semi-lockdown status.
The government has prohibited residents from entering and leaving their residential communities unless deemed necessary.
Yiwu City has grown to become the world’s largest transport hub.
It has been an important global import and export center, crucial for small commodities for many years.
There are currently over 2 million small and medium-sized enterprises in mainland China with business connections to Yiwu.
Concerns grow that the CCP’s restrictions will worsen China’s economic downturn, disrupt global supply chains, and add further pressure to the global inflation and shortages crisis.
According to data, China’s economy slowed sharply in the second quarter, missing market expectations with just a 0.4 percent increase from a year earlier.
Both tensions over Taiwan and the fallout of Russia’s invasion of Ukraine are believed to be major factors.
“For the coming months, several factors will influence flows dynamics, among these, the timing of inflation peaking and the outlook for the Chinese economy will be in focus,” IIF said.
As Slay News previously reported, a fast-food restaurant chain mogul has issued a warning to the public that mounting pressures on the supply chain will cause major global food shortages this winter.
Pat McDonagh, the head of Supermac’s, a major fast food chain in Ireland, is urging people to “stock up now.”
McDonagh is telling the general public to begin preparing for the looming global food crisis now by stocking up on non-perishable food.
He put great emphasis on difficulties to do with fertilizer in the country, noting that nations around the world are suffering the same issue.
The lack of fertilizer is so severe that it risks halving farmers’ crop yields.
Meanwhile, food producers around the world have had to do without fertilizer due to high prices.
He said that supply chain disruptions and high prices would likely extend into widespread food shortages.
“I would be recommending people to buy a bit of long-life food earlier on,” he said.