www.zerohedge.com BY TYLER DURDEN
Top Chinese manufacturers have shuttered operations as expanding COVID-19 lockdowns choke off logistical networks from factories to ports and simultaneously alleviate congested transpacific shipping lanes. Though, once factories in China reopen, another wave of supply chain chaos will slam US West Coast ports.
Stringent government measures to mitigate the spread of COVID have resulted in widespread lockdowns in Shanghai. Tens of millions of people are locked down in the industrial metro area. Factories, such as Tesla’s and component makers for Apple, have restricted output or closed altogether.
Disruptions to factories, trucking, warehouses, and port operations in Shanghai have depressed shipping rates because the flow of goods to the US has come to a crawl.
