Some global companies have ceased operations in China

Due to the outbreak of coronavirus, many Chinese factories have stopped production, and some global companies have suspended their operations or closed their stores in China, BBC said on Monday. According to economists, the effects of this situation are felt by many industries, including tourism, transport, trade, and gastronomy.

According to analysts referring to the BBC website, an outbreak of coronavirus that paralyzed major Chinese cities could harm the economy of China if it persists for a long time.

As part of measures to protect the domestic economy from coronavirus influence, the Chinese central bank pumped CNY 1.2 trillion (approx. €155bn) into the market by lowering loan rates.
 
According to the BBC, many Chinese factories have suspended production, and companies have instructed employees to work from home.

"Foxconn, Toyota, Starbucks, McDonald's and Volkswagen are just a few corporate giants who have ceased operations or closed stores all over China," we read.

 The Guardian, in turn, draws attention to the largest losses since 2015 on Chinese exchanges on Monday. At the opening, the Shanghai Composite index fell by almost 9 percent. According to Reuters, due to fears of the coronavirus from the Shanghai Stock Exchange "evaporated 370 billion dollars."

(PAP)