The economic impact of China’s coronavirus lockdown is being felt across the globe, with exporters, miners and manufacturers of everything from coal and timber to meat and fruit facing delays and potential shipment cancellations.
Supply line backups are stretching all the way to New Zealand. Image credit: Nasdaq
Supply line backups are stretching all the way to New Zealand, the United States, and beyond. The effect is more pronounced for smaller items such as food and forestry products. Bulk items like iron ore, fuel, and coal have mainly automatic offloading and transfer to storage that has not been affected.
At Gisborne’s Eastland Port on New Zealand’s North Island, log exports to China – the port’s main source of revenue – have been halted until further notice, while forestry workers across New Zealand have been told to go home.
China is by far the largest market for New Zealand’s log exports.
“The industry is reeling a bit as you would expect,” said Prue Younger, chief executive for the Forest Industry Contractors Association.
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Source: Reuters
