Chindia Alert: You’ll be Living in their World Very Soon
aims to alert you to the threats and opportunities that China and India present. China and India require serious attention; case of ‘hidden dragon and crouching tiger’.
Without this attention, governments, businesses and, indeed, individuals may find themselves at a great disadvantage sooner rather than later.
The POSTs (front webpages) are mainly 'cuttings' from reliable sources, updated continuously.
The PAGEs (see Tabs, above) attempt to make the information more meaningful by putting some structure to the information we have researched and assembled since 2006.
BEIJING (Reuters) – China will promote the sales of export products in domestic markets, as foreign trade faces unprecedented challenges due to the coronavirus pandemic, an assistant commerce minister said on Friday.
As the coronavirus spreads to almost all of China’s trading partners, the world’s second-largest economy is set to reach a grim milestone for full year growth, with the pace of expansion likely to be the slowest since the Cultural Revolution ended in 1976. And, the export sector is facing millions of job losses and factory shutdowns.
“Due to the rapid spread of the epidemic in the world, foreign demand has slumped and the biggest difficulty facing foreign trade companies is the plunge in orders,” said Ren Hongbin, the assistant minister at the Ministry of Commerce.
He said firms across the board have had their orders cancelled or delayed, and new orders are “very hard to sign”.
“The uncertainty about the pandemic has become the biggest uncertainty for foreign trade development.”
Forecasters expect China’s 2020 growth could be nearer the 2.0% mark – the slowest in over 40 years – due to the sweeping impact of the pandemic both at home and overseas. The economy grew 6.1% last year.
China’s overseas shipments fell 17.2% in January-February from the same period a year earlier, marking the steepest fall since February 2019. Imports sank 4% from a year earlier.
Among the government measures to support the sector, China is accelerating efforts to build online trade fairs and guiding exporters to work with e-commerce retailers for sales in domestic markets and coordinating with its trading partners to stabilise supply chains, said Ren.
The Canton Fair, China’s oldest and biggest trade fair due to take place online, will feature live-streaming services for participants, Li Xingqian, another commerce ministry official, told the same briefing. The fair was originally scheduled to begin on April 15, but was postponed due to the coronavirus outbreak.
China is willing to boost trade relations with other countries, including the United States, under the new circumstances, said Ren, adding that Beijing hopes to work together with Washington to promote bilateral trade.
Both countries have been engaged in a near two-year long trade war with tit-for-tat tariffs on each other’s goods, before negotiators called a truce with an interim trade deal in January.
TOKYO (Reuters) – Uncertainty over Japan’s economic outlook is “extremely high” as the coronavirus pandemic hits output and consumption, central bank Governor Haruhiko Kuroda said, stressing his readiness to take additional monetary steps to prevent a deep recession.
While aggressive central bank actions across the globe have eased financial market tensions somewhat, corporate funding strains were worsening, Kuroda told a quarterly meeting of the Bank of Japan’s regional branch managers on Thursday.
“The spread of the coronavirus is having a severe impact on Japan’s economy through declines in exports, output, demand from overseas tourists and private consumption,” he said.
Japan recorded 503 new coronavirus infections on Wednesday – its biggest daily increase since the start of the pandemic – as a state of emergency took effect giving governors stronger legal authority to urge people to stay home and businesses to close.
In contrast to stringent lockdowns in some countries, mandating fines and arrests for non-compliance, enforcement will rely more on peer pressure and a deep-rooted Japanese tradition of respect for authority.
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The balancing act underscores the difficulty authorities have in trying to contain the outbreak without imposing a mandatory lockdown that could deal a major blow to an economy already struggling to cope with the virus outbreak.
Hideaki Omura, the governor of the central Japan prefecture of Aichi, said he would declare a state of emergency for his prefecture on Friday.
Omura said Aichi, which includes the city of Nagoya and hosts Toyota Motor Corp, was talking with the central government about being included in the national state of emergency as well, but felt he could not wait any longer to restrict movement.
“Looking at things the past week and watching the situation – the rise in patients, the number without any traceable cause – we judged that it was a very dangerous situation and wanted to make preparations,” he told a news conference.
Even with less stringent restrictions compared with other countries, analysts polled by Reuters expect Japan to slip into a deep recession this year as the virus outbreak wreaks havoc on business and daily life.
Shares of Oriental Land Co (4661.T) fell on Thursday after the operator of Tokyo Disneyland said it would keep the amusement park shut until mid-May.
Entertainment facility operator Uchiyama Holdings (6059.T) said it was closing 43 karaoke shops and 11 restaurants until May 6.
“For the time being, we won’t hesitate to take additional monetary easing steps if needed, with a close eye on developments regarding the coronavirus outbreak,” Kuroda said.
Kuroda’s remarks highlight the strong concern policymakers have over the outlook for Japan’s economy and how companies continue to struggle to generate cash, despite government and central bank promises to flood the economy with funds.
At its policy meeting later this month, the BOJ is likely to make a rare projection that the world’s third-largest economy will shrink this year, sources have told Reuters.
The BOJ eased monetary policy in March by pledging to boost purchases of assets ranging from government bonds, commercial paper, corporate bonds and trust funds investing in stocks.
The government also rolled out a nearly $1 trillion stimulus package to soften the economic blow.
Wuhan, where the first cases of the novel coronavirus were detected, is ending a 76-day lockdown
A day before the lockdown was fully lifted, Tencent announces a slew of initiatives focused on helping to revive the digital industry in the city
Passengers leaving Wuhan city are pictured at the Hankou Railway Station in Wuhan city, central China’s Hubei province, on Wednesday morning, April 08, 2020. Photo: SCMP/Simon Song
A day before China lifted a months-long lockdown of Wuhan city, the initial epicentre of the coronavirus pandemic, Chinese internet giant Tencent Holdings pledged to invest in digital government, online education and artificial intelligence (AI) in the city, among other fields.
“During the epidemic, Tencent has been supporting Hubei and Wuhan’s fight against the virus through funds and technology,” the company best known for its gaming business said in a statement posted on Tuesday on WeChat. “In the future, we will also fully support Wuhan’s post-pandemic reconstruction and continue to support the development of Wuhan’s digital industry.”
China’s major tech companies have played a big role in the fight against the coronavirus, and are now playing their part in the economic recovery of Wuhan and other areas that have suffered under extended travel restrictions and business closures.
and Pinduoduo each announced their own initiatives to help revive sales of farm goods from Hubei as the province emerges from its months-long lockdown.
Popular mobile payments app Alipay also created a dedicated section for Wuhan merchants to allow users to buy from merchants in the city, and offered loans to small local merchants in need of financial support, according to an Alipay statement. Alipay is operated by Ant Financial, an affiliate of Alibaba, which owns the South China Morning Post.
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Wuhan, an industrial powerhouse for the steel, semiconductors and automotive sectors, is emerging from an unprecedented lockdown which began on January 23 and prevented people from moving in and out of the city.
Since restrictions began easing gradually in late March, business activity has shown signs of recovery: Tencent’s mobile payment platform WeChat Pay recorded a 162 per cent increase in offline transactions in a 10-day period from March 25, compared to the same period the previous month, according to a separate statement by Tencent on Wednesday.
Searches for “work resumption certificates” – which businesses need to submit to local authorities to prove their staff can safely restart work – also increased 320 per cent on Baidu, China’s biggest search engine, in the past month, Baidu said in a report on Wednesday.
Tencent declined to provide specific details regarding the size of its latest investment in Wuhan or a timeline for its implementation, but said in the statement that it will involve closer cooperation with city authorities in the areas of digital government, education, smart mobility, AI and cybersecurity to help the city with its digital industries.
Among these initiatives, it will push ahead with a plan to build a headquarters focusing on digital industries in Wuhan, specifically digitalisation for the government and smart city initiatives.
It will also establish a base in Wuhan for its online education initiatives, set up an AI lab and cybersecurity academy and build a school focusing on smart mobility in collaboration with Chinese carmaker Dongfeng Motor Corporation, the company said in the statement.
Some 460,000 Chinese firms shut in the first quarter amid fallout from the coronavirus
Registration of new firms between January and March fell 29 per cent from a year earlier
Many Chinese businesses are struggling from the economic fallout of the coronavirus. Photo: Reuters
More than 460,000 Chinese firms closed permanently in the first quarter as the coronavirus pandemic pummeled the world’s second largest economy, with more than half of them having operated for under three years, corporate registration data shows.
The closures comprised of businesses whose operating licenses had been revoked, as well as those who had terminated operations themselves, and included 26,000 in the export sector, according to Tianyancha, a commercial database that compiles public records.
At the same time, the pace of new firms being established slowed significantly. From January to March, around 3.2 million businesses were set up, a 29 per cent drop from a year earlier.
Most of these new companies were in traditional centres of economic power, such as Guangdong province in southern China, and close to half of them were in distribution or retail.
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The number of business closures underlines the challenges facing China as it tries to revive its economy, which is at risk of a contraction in the first quarter for the first time since 1976.
“China has managed to get the Covid-19 outbreak largely under control and domestic supply disruptions have now mostly dissipated,” Yao Wei and Michelle Lam, economists from French bank Societe Generale, said in a recent note.
“However, there are signs of lasting damage to domestic demand, and on top of that the external shock resulting from widespread lockdowns in other major economies is arriving fast and furious.”
In Dongguan, a once thriving industrial hub in the Pearl River Delta, rows of empty shops and closed factories are becoming a noticeable feature of the landscape as companies grapple with slumping international demand.
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In March, a local export-oriented manufacturer of tote bags and toys in the city, Dongguan Fantastic Toy Company, collapsed after overseas orders dried up, leaving some workers with unpaid salaries, the local labour authority said last month. The government has ordered the factory’s landlord to pay the outstanding wages.
Chinese business owners who can no longer afford to maintain operations face a number of hurdles before they can walk away from a company.
If an insolvent firm wants to cancel its company registration, it needs to go through bankruptcy procedures or show a liquidation report confirming it had no unpaid debt or other obligations.
Once shareholders or creditors file for bankruptcy, it can take months for courts to accept the case, followed by a long process of verification, creditors’ meetings and asset sales, said Li Haifeng, a partner at Baker McKenzie FenXun.
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“I expect a surge shortly after the situation settles down. We know many enterprises are already on the verge of bankruptcy. It’s just that they don’t have to declare or file for bankruptcy immediately,” Li said, adding he had received many queries on the matter in recent months.
Given the costly nature of bankruptcy proceedings, particularly for small businesses
struggling with cash flow or without sufficient assets, the number of bankruptcy filings this year would not be high, said Zhu Bao, a Beijing-based lawyer.
Fears over a growing number of companies going bust also appears to have played some part in Chinese courts rejecting and delaying bankruptcy filings, according to lawyers and official documents.
Creditors who filed on behalf of suppliers that helped contain the coronavirus or companies on the brink of bankruptcy as a direct result of the pandemic usually had their claims knocked back, dozens of court documents filed over the past two months showed.
We know many enterprises are already on the verge of bankruptcy. It’s just that they don’t have to declare or file for bankruptcy immediately – Li Haifeng
The courts in these cases encouraged the creditors to reconcile with the struggling firms and ride out the difficulties.
This – along with disruptions to court proceedings due to virus lockdowns – helped slow the review of bankruptcies in Chinese courts to 1,770 in February and March, from 2,160 filings in January, according to the national enterprise bankruptcy information disclosure platform.
“The delay and rejection of taking corporate bankruptcy cases is certainly intended to keep the economy going. Too many bankruptcies cases do not do much to help economic recovery,” Zhu said.
China’s central leadership has maintained it wants to hit economic targets for this year, even as the country braces for a possible second wave virus outbreak.
The delay and rejection of taking corporate bankruptcy cases is certainly intended to keep the economy going – Zhu Bao
The odds of a first quarter economic contraction for China are growing, however, and economists are debating whether it still makes sense for Beijing to set a specific gross domestic product (GDP) growth target for 2020.
Ma Jun, an academic member of the People’s Bank of China’s monetary policy committee, is one prominent voice that has suggested Beijing drop a set target amid the uncertainty caused by the virus outbreak.
However, others like Yu Yongding, an economist from Chinese Academy of Social Sciences, said it was necessary to anchor the country’s economic expansion, though the government should be realistic about the goal, reported the Beijing-based financial media group Caixin.
Image copyright JEN SMITHImage caption Jen Smith lives in Shenzhen, where it’s compulsory to wear a mask outside at all times
My Money is a series looking at how people spend their money – and the sometimes tough decisions they have to make. Here, Jen Smith, a children’s TV presenter from Shenzhen in southern China, takes us through a week in her life, as the country slowly emerges from the coronavirus pandemic.
Over to Jen…
Since being in lockdown I’ve been bingeing on Keeping Up With the Kardashians. It starts with one episode after dinner, blink, and suddenly it’s 3am. YouTube, Facebook, Google and Instagram are all banned here, so you’d think I’d be a binge-free socialite after a year and a half living in China. Well, those sites are banned unless you have a VPN – I pay $120 (£97) a year for mine, so Sunday was a late night, with a lie-in until 10.30 this morning.
I go for a run – mask and all, as it’s currently illegal to be outside without one. I make my coffee (bought in the UK), fruit smoothie (about 20 yuan, $2.82, £2.27) and cereal (80 yuan a packet) before cycling to work.
Today is a bit of a crazy day in the studio. I work as a children’s TV presenter. My company has profited from the lockdown as more children are watching the shows non-stop – meaning a rapid turnaround for us.
We shoot two shows from 2-6pm then “break” for a meeting. We discuss tomorrow’s shoot while I eat dinner – homemade aubergine curry. It is normal for the Chinese to eat breakfast, lunch and dinner at work. Normally the company gives all staff 25 yuan through a food-ordering app, and the whole company would eat together. However, because of the current social distancing, that social time is in the far distant past!
I make it home for 8pm, order some deep-fried cauliflower as a snack (45 yuan) and start the inevitable Kardashian binge.
Total spend: 65 yuan ($9.10, £7.37)
Image copyright JEN SMITHImage caption Workers often have a midday nap in the office
It’s a much earlier start (7.30am), but the same morning routine. On my cycle to work I notice that the traffic is almost back to normal – Shenzhen is inhabited by well over 12 million people, so as you can imagine rush hour is intense. This doesn’t change the fact that everywhere you go you have to scan a QR code – leaving my apartment, using the walkway by the river, and getting into the building I work in.
After a morning of shooting I eat homemade potato curry and settle down for a nap. Naptime is such a commonality in China that people store camp beds at the office. I order a coffee and banana chips (20 yuan) for a pick-me-up before the afternoon’s shooting.
It’s St Paddy’s Day so I head to the local pubs area, catch dinner at a French restaurant (222 yuan), then a few drinks (25 yuan – mainly bought by men at the bar for us) before a very tipsy cycle home.
Total spend: 242 yuan ($34, £25)
Image copyright JEN SMITHImage caption A disposable cover reduces the risk of transmitting the virus by touching lift buttons
The morning’s shoot (thankfully) was cancelled, so I nursed a hangover in bed until around 11am, at which point I had a phone meeting for a company that I do “plus-size” modelling for (for context I’m a UK size 12). I eat a bowl of cereal and order more cauliflower (45 yuan) while I watch a film.
At 2.30pm an intern picks me up, and we head to the government building to apply for a new work visa. Ironically, the image taken for my visa is Photoshopped to remove wrinkles, freckles and my frizzy hair. When I ask why this is being done for an identification document, the intern replies that the government wants it to be neat, and “the Chinese way” is to have altered photos.
I don’t argue, and have an interview before I hand in my passport. The whole process takes around two hours, so I order food to my house while on the way home (150 yuan for burger, salad and cake!) I take a taxi across town which ends up being 39.05 yuan.
The day starts at 8.30am with coffee and reading, before I get a manicure (280 yuan). My nail lady has been very worried about the state of my hands during the virus, so she spends a whopping two and a half hours treating them while I watch a film (0.99 yuan – bought by her). Because the manicure was so long I don’t have time to eat lunch before our fitness shoot, which runs from 2-5.30pm. I then have an appointment to sign into a building which I’ll shoot in tomorrow.
The building is near a supermarket called Ole (one of the only western supermarkets), and I pick up groceries for 183 yuan before heading home to cook, listen to podcasts and prep for the big day of shooting on Friday.
Total spend: 463 yuan ($64, £52.5)
Image copyright JEN SMITHImage caption Jen filming in front of a green screen – a more colourful digital background will be added later in post-production
Fridays are generally my busiest day. The way the Chinese seem to function, is a boss will say “I want this done now” and then employees rush to finish it. Generally, they will write scripts on Monday and Tuesday, discuss Wednesday, then we shoot later in the week. The poor editors, despite mandatory office hours during the week, then have to work tirelessly through the weekend to achieve a Sunday evening deadline.
I start with mashed avocado and a hard-boiled egg before work. The morning shoot runs from 9.30-11.40am, and I have an early lunch – homemade curry again, before my regular nap time. The afternoon shoot is three hours, so I have time to pop home and shower before a live stream at 6pm. I take a taxi to and from the live stream which ends up being 28 yuan.
Total spend: 28 yuan ($3.92, £3.18)
Image copyright JEN SMITHImage caption A taxi driver has improvised a screen to reduce the risk of picking up Covid-19 from a passenger
Finally the weekend! Although things are slowly getting better in China after the coronavirus outbreak, there’s still not too much to do. So I use this time to write, play my piano and generally chill inside. Around 3pm, I venture outside to the shops to pick up some snacks (159.60 yuan) before settling in to ring my family back in the UK with a homemade cocktail – a friend of mine in Canada is doing a daily live stream, “quarantinis” where he teaches you how to make cocktails!
What’s interesting is that a lot of people have started leaving their houses again, but it is still illegal to go outside without a mask on, and temperature checks are taken everywhere. I was even refused entry to a building due to being foreign. I imagine this is because recently the only new cases are being brought in by non-Chinese travelling back to China.
Total spend: 159.60 yuan ($22, £18)
Image copyright JEN SMITHImage caption Shenzhen’s Metro system is still very quiet
It’s another slow day for me as many foreigners have not yet returned to China, so most of my friends are out of the country. I start the day by reviewing potential scripts.
This takes me to 1.30pm without realising I haven’t eaten. I decide to go for a quick run and I return to eat mashed avocado and a hard-boiled egg.
I home-bleach my hair with products bought in the UK, then head back to editing again. About half way through the afternoon I take a little break to practice Chinese. I use an app which is fantastic and free! Definitely worth everyone downloading this during social distancing so you can learn new skills!
For dinner I order online again, a three-dish meal for 160 yuan.
The coronavirus pandemic has completely changed patterns of consumer psychology across the world, experts say
Complexity of the crisis, the number of variables and its magnitude make a consumer recovery unprecedented and difficult to predict
The coronavirus has caused panic buying around the world as consumers frantically stockpile of goods such as toilet paper, hand sanitisers and masks. Illustration: Brian Wang
Before the coronavirus crisis began rippling through the global economy, Susan Wang had big plans for 2020.
Not only was she going to buy a new Apple MacBook and iPad, plus a projector so she could host friends for movies at home, but she was set on making a career move.
“I was planning to change my job, but my headhunter told me that all recruitment has been postponed to the second quarter,” said the 27-year-old who works for a British company in Hong Kong.
“Our headquarters in London has a plan for redundancy, too. It is better to save some money in case I get laid off.”
As Covid-19 spreads across the world, sending stock markets reeling and prompting big companies to slash jobs, Wang has become increasingly frugal like scores of other consumers from China to the United States.
She has stopped eating at restaurants and now tries to keep her weekly food bill under HK$500 (US$64), whereas in the past she wouldn’t think twice about spending HK$100 per meal.
Amid mounting uncertainty, the coronavirus pandemic – which has claimed the lives of more than 41,000 people and infected at least 842,000 worldwide – is fundamentally changing consumer behaviour in Asia, Europe and North America.
Consumer experts said the 2009 global financial crisis, the Great Depression that started in 1929 and the September 11 terrorist attacks give some clues about how and when global consumption might recover. But the complexity of this crisis, the number of variables and its magnitude make this consumer recovery unprecedented and difficult to predict, they added.
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“The coronavirus pandemic has completely changed patterns of consumer behaviour all over the world. People are afraid, and when people are afraid, they go into survival mode,” said Jesse Garcia, a Los Angeles-based consumer psychologist, who is also the CEO of market consulting firm My Marketing Auditors.
plummeted a record 44 per cent in February and those figures are only expected to get worse, with sales forecast to slump between 30 and 40 per cent in the first half of the year, according to the Hong Kong Retail Management Association.
In the US, retail sales dropped by 0.5 per cent in February, even before many states had issued stay-at-home orders to protect the world’s largest economy. The decline was the biggest fall since December 2018.
Experts say non-essential products and services are set to be worst affected by the coronavirus pandemic, while goods and services that can be consumed at home will see a spike in sales.
The coronavirus pandemic has completely changed patterns of consumer behaviour all over the world. People are afraid, and when people are afraid, they go into survival mode – Jesse Garcia
“Online consumer behaviour is frenetic,” said Ross Steinman, a professor of psychology at Widener University in the US state of Pennsylvania. “Consumers are refreshing and refreshing and refreshing websites to secure grocery delivery times, purchase paper towels from their usual big box retailer and scavenge for rice and canned soup from third party sellers on Amazon.
“A pronounced spike in coronavirus cases will only amplify the freneticism.”
So far, one of the biggest shortages for consumers is toilet paper. Television stations across the globe have beamed images of empty supermarket shelves and huge queues as people hoard toilet paper rolls, masks and hand sanitiser.
The frantic stockpiling can be explained by a psychological concept called informational conformity, said Vicki Yeung, associate professor at the Department of Applied Psychology at Lingnan University in Hong Kong.
A pronounced spike in coronavirus cases will only amplify the freneticism – Ross Steinman
“When people lack knowledge and are in an uncertain situation, they tend to follow the group’s behaviour and blindly conform, but once they obtain more information, and digest and process the situation, the panic gradually fades away,” she said.
“During this Covid-19 pandemic, people generally feel jittery and anxious because they feel their sense of control has disappeared.”
Unlike other recent global crises such as the September 11 attacks, the coronavirus is less a one-time sharp shock to the system and more of a rolling source of anxiety that could retreat and resurface repeatedly, consumer behaviour experts said.
This was the pattern with the Black Death plague that hit Europe in 1347 and returned episodically over many years, ultimately killing millions of people.
During this Covid-19 pandemic, people generally feel jittery and anxious because they feel their sense of control has disappeared – Vicki Yeung
“It may be we’ll have to shut down things again in October or August. And this could go on for years,” said Charley Ballard, an economist with Michigan State University in the US. “The more that happens, the more damage it does to buoyant consumer psychology.”
Furthermore, relative to the 2009 financial crisis and even the Great Depression, when much of the damage was concentrated at least initially in the financial sector, this crisis has seen virtually the entire economy grind to a halt all at the same time, devastating employment and consumption.
Last week, a record 3.3 million Americans applied for unemployment benefits within one week, as restaurants, hotels, barber shops, gyms and retail outlets shut down in a nationwide bid to stem the pandemic. The previous record of 695,000 was set in 1982.
On Tuesday, Goldman Sachs predicted the US jobless rate will hit 15 per cent in the second quarter of this year from the coronavirus economic freeze, and could rise further beyond that to near the historic peak of 24.9 per cent seen in 1933 during the Great Depression. Economists at the St. Louis district of the US Federal Reserve projected unemployment could cost as many as 47 million jobs in the US this year, sending the unemployment rate past 32 per cent before making a sharp recovery.
US now has world’s most coronavirus cases, surpassing China
China’s unemployment rate jumped to 6.2 per cent for January and February from 5.2 per cent in December and 5.3 per cent a year earlier. It was the highest level since records began in 2016, but did not include China’s estimated 291 million migrant workers.
Consumer spending accounts for more than 60 per cent of the Chinese economy and drives 70 per cent of the US economy. But with the pandemic causing many people to go into hibernation and likely to lead to cycles of job cuts, economists have predicted a consumer-led global recession by the second quarter of this year.
Just how long it will take for consumer behaviour to return to normal depends on each person’s psychological resilience, including how quickly they can adapt to change, how optimistic they are and whether they can adopt strategies to regain a sense of control, Yeung said.
Anirban Mukhopadhyay, chair professor of marketing at Hong Kong University of Science and Technology said as long as the coronavirus threat was still present, people would remain fearful to some extent. But he added that people were resilient.
Satellite images show world sites deserted amid coronavirus pandemic
“Human beings adapt to events and stimuli over time,” Mukhopadhyay said. “Research has shown that even people who win lotteries tend to return to their earlier levels of life satisfaction after some months, as do people who have to have amputations.
“So even if the source of the fear does not go away, we learn to live with it.”
Ballard, from Michigan State University, estimated it could take upwards of two years for American consumers to feel secure enough in their jobs and gain enough confidence to fully open their wallets. A longer and more episodic duration for the disease could push that higher, he added.
Further complicating the consumer picture, he said, is that many supply chains are at risk of breaking. And consumers will be wary of spending for a while in many traditional areas, including crowded sporting events and concerts, restaurants and flights.
A new phase of coronavirus blame game: what is the legacy of Covid-19 on global supply chains?
Some experts have even suggested that consumer behaviour may be permanently changed as a result of the pandemic.
“It seems very unlikely that people will get back to life as it was before, once the coronavirus is over,” said Andreas Kappes, a lecturer in psychology at City University of London.
“People’s behaviour is extremely orthodox, often referred to as the status quo bias and captured in expressions like ‘past behaviour best predicts future behaviour.’ Now, the crisis forces us to change our behaviour, radically, and we might discover that new way suits us better.”
The philanthropic foundations of Jack Ma and Joe Tsai, two of China’s wealthiest technology entrepreneurs, have donated 23 million face masks, 2,000 ventilators and 170,000 pieces of protective gear to New York
The donation, the biggest by private citizens to the epicentre of the global coronavirus pandemic, was described by New York Governor Andrew Cuomo as ‘really good news’
A shipment of 1,000 ventilators donated by Jack Ma Foundation and Joe Tsai Foundation, has arrived in New York. Photo: Handout
Chinese philanthropists are stepping up their donation of protective gear, essential medical and diagnostic kits to the United States, Europe and Asian countries, despite rising acrimony between diplomats and government officials looking to pin blame amid the world’s worst pandemic in decades.
The private foundations of Jack Ma and Joe Tsai, co-founders of this newspaper’s owner Alibaba Group Holding and two of China’s wealthiest technology entrepreneurs, have donated a combined 23 million face masks, 2,000 medical ventilators and 170,000 pieces of protective gear to New York city.
The first 1,000 medical ventilators arrived today, with another 1,000 on the way, for a total donation valued at US$50 million, according to a person familiar with the matter.
Delivery of the essential materials, made possible by behind-the-scene manoeuvres by the donors and officials from both the Chinese and US sides due to import and export regulatory hurdles, highlights the role of civil diplomacy in dealing with the global public health crisis.
New York Governor Andrew Cuomo thanks the Chinese government for the 1,000 ventilators donated by Jack Ma Foundation and Joe Tsai Foundation, which arrived in New York on Saturday. Photo: Handout
The gesture comes as diplomats of both countries, and even government officials including the US president and his secretary of state, have engaged in a tit-for-tat war of words, as they attempt to pin the blame for the worlds worst pandemic in decades on each other.
Confirmed cases in the US have soared and surpassed China as the new global epicentre. In the US there are nearly 310,000 cases and nearly 8,500 people have died so far from the Covid-19 disease.
Jack Ma is a friend of mine and he’s made it very possible to get about 1,000 ventilators from China. But that was from him and my other friend [Tsai] that was really a gift – Andrew Cuomo, governor of New York
Andrew Cuomo, governor of New York, thanked the Chinese government for easing the transfer of the ventilators to the hard-hit state, the current epicentre of the coronavirus outbreak in the US.
He said the donations were “really good news”, as the state pushes up against the apex of the outbreak, which is likely to hit in about seven days.
“This is a big deal, and this is going to make a significant difference for us,” Governor Andrew Cuomo said on Saturday.
“Jack Ma is a friend of mine and he’s made it very possible to get about 1,000 ventilators from China. But that was from him and my other friend [Tsai] that was really a gift. And we appreciate it very much.”
One of the challenges in making the donation possible was the fact that the US had previously blocked China-made “KN95” standard masks, only allowing “3M N95” masks to be used. Although the two masks have different standards, they essentially have the same performance. On Friday, the US Food and Drugs Administration issued an emergency use authorisation for KN95 masks.
Alfred Wu, associate professor in Lee Kuan Yew School of Public Policy at National University of Singapore, said that what China is doing with its so-called masks diplomacy is very clear. “But given the emergency situation in New York, whatever channel – private or public sources – the equipment comes from, should not matter, especially those for medical workers,” he said.
Separately, the western state of Oregon has also said that it would send 140 ventilators to New York.
The state, like other areas of the US, is facing shortages of medical gear, including masks and ventilators.
“We are not yet at the apex. We are getting closer,” Cuomo said, adding that this was good as it gave the authorities more time to prepare.
A tweet from New York Governor Andrew Cuomo thanking the Chinese government for the 1,000 ventilators donated by Jack Ma Foundation and Joe Tsai Foundation. Photo: Twitter
Cuomo said 113,704 people in New York have tested positive for the coronavirus, with 15,000 having been hospitalised The state’s death toll saw a significant spike on Saturday to reach 3,565, up from 2,935 the previous day.
The White House has been criticised for not better coordinating the supply of medical goods to states, who are competing with each other on the open market.
NUS’ Wu said that tussle between the federal and state governments in the US on key decisions on acquiring medical supplies was not helping the fight against the pandemic. “Unlike in China, where the central government has the say over local governments, in the US, when it comes to public health provision, the power belongs to the state,” he said.
Meanwhile, Cuomo acknowledged that he asked the White House and others for help negotiating the ventilators.
Trump said he would like to hear a more resounding “thank you” from Cuomo for providing medical supplies and helping quickly to add hospital capacity.
The US saw 1,169 deaths in 24 hours and its infections are 20 per cent of the global total
China to hold day of mourning for victims; Singapore announces fifth death and school closures; Boris Johnson says he’s still ill; Angela Merkel ends quarantine
A group of nurses gather in the Bronx, New York, for a strike about the lack of personal protective equipment, on April 2, 2020. Photo: EPA-EFE
The number of confirmed coronavirus cases around the world soared past one million on Thursday and deaths topped 50,000 as Europe reeled from the pandemic and the
reported the highest daily death toll so far of any country.
Despite more than half the planet imposing some form of lockdown, the virus claimed thousands more lives, with the US, Spain and Britain seeing the highest number of daily fatalities yet.
Covid-19 is currently spreading the most rapidly in the US, where there have been 243,453 infections and 5,926 deaths, according to a tally by Johns Hopkins University.
The US saw 1,169 deaths in 24 hours, the highest one-day toll recorded in any country since the global pandemic began. The grim record was previously held by Italy, where 969 people died on March 27.
Here are other developments:
Singapore shuts schools, workplaces in ‘circuit-breaking’ move
Singapore’s coronavirus case number hits 1,000 after city state reports biggest single-day spike
Singapore Prime Minister Lee Hsien Loong on Friday afternoon announced most workplaces would be shut from April 7, and schools would be closed from April 8, in its
The city state has 1,114 infections and five people have died. More than 200 have recovered.
Essential services such as food establishments, markets and supermarkets, clinics, hospitals, utilities, transport and banking services will remain open.
Coronavirus: what’s behind Singapore’s U-turn on wearing masks?
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Lee on Friday said instead of tightening measures incrementally over the next few weeks, Singapore should “make a decisive move now, to pre-empt escalating infections”.
“Looking at the trend, I am worried that unless we take further steps, things will gradually get worse, or another big cluster may push things over the edge,” Lee said, describing the new measures as a “circuit breaker”.
Medical experts say the stringent measures require the cooperation of citizens to stay at home, given that local infection clusters have ballooned from six at the end of February to more than 20 currently.
People stand behind markers as they practice physical distancing while queuing up to buy food at a Singapore supermarket on April 3, 2020. Photo: Reuters
The Lion City has launched a website to help individuals with symptoms that might be related to Covid-19 decide whether they should see a doctor or not.
On the Covid-19 Symptom Checker website, individuals will be prompted to answer a short list of questions including their age, if they have any chronic diseases, if they have travelled outside Singapore in the past 14 days, or have been in touch with a suspected or confirmed Covid-19 case.
They will also be asked to choose which symptoms they are experiencing from a predetermined list including symptoms such as cough, difficulty breathing and the loss of taste/smell. The site will then recommend what the person should do next. This includes whether they should see a doctor or continue to monitor their symptoms.
China to hold day of mourning for Covid-19 victims
At 10am on April 4, 2020, the public will be asked to observe three minutes of silence. Photo: EPA-EFE
Flags will be flown at half-mast across the country and at embassies overseas, while all public entertainment will be halted for the day, said the State Council, China’s cabinet, on Friday.
At 10am, the public will be asked to observe three minutes of silence, during which sirens will blast out across the country and the owners of cars and boats should sound their vehicles’ horns, the council said.
Saturday also coincides with Ching Ming, or the Tomb-sweeping Festival, when Chinese traditionally gather to remember their ancestors.
China to stage day of mourning for the thousands lost to Covid-19
4 Apr 2020
Mainland China on Friday reported 31 new confirmed coronavirus cases, including two locally transmitted infections, the country’s National Health Commission said.
It also reported four new deaths as of Thursday, all in Wuhan, the city where the outbreak began, the commission said in a statement. The total number of infections now stands at 81,620 and 3,322 deaths have been reported from mainland China to date.
The commission said 60 new asymptomatic coronavirus patients were also reported on Thursday.
UK’s Boris Johnson still ill with virus fever
Boris Johnson #StayHomeSaveLives
✔@BorisJohnson
Another quick update from me on our campaign against #coronavirus.
You are saving lives by staying at home, so I urge you to stick with it this weekend, even if we do have some fine weather.#StayHomeSaveLives
British Prime Minister Boris Johnson remains in isolation with a high temperature, more than a week after testing positive for coronavirus.
Johnson made the announcement in a video posted on Twitter on Friday, saying that even after seven days, “alas I still have one of the symptoms, a minor symptom: I still have a temperature”.
“In accordance with government advice I must continue my self-isolation,” he said.
As virus rages, British love for NHS could make or break Boris Johnson
3 Apr 2020
With coronavirus deaths still rising, the PM is anxious to drum home his message that Britons must obey government orders to stay in their homes as much as possible.
On March 23 he ordered a national lockdown, with the closure of schools, stores, restaurants and leisure facilities. Under emergency laws, police have the power to fine individuals who flout the rules and break up gatherings of more than two people in public.
Germany to crack down on people flouting physical distancing rules
Police officers ask people to disperse as they gather at a park in Berlin, Germany, on March 28, 2020. Photo: Reuters
People in Germany risk being fined up to €500 (US$540) for standing too close to each other from Friday, as officials crack down on people flouting rules brought in to control the coronavirus outbreak.
Chancellor Angela Merkel’s government has ordered people not leave their homes unless they have an exceptional reason such as grocery shopping, exercise or medical appointments.
Gatherings of more than two people are banned and a distance of at least 1.5 metres must be kept from others at all times.
Local governments have the power to set fines for transgressors, with city officials in Berlin saying their fines would be as high as 500 euros. Similar announcements have come from across Germany’s 16 states.
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According to figures by the Robert Koch Institute (RKI) on Friday, Germany has recorded more than 79,000 cases of the novel coronavirus, and 1,017 deaths, although RKI president Lothar Wieler warned on Friday that the actual number of casualties could be much higher.
“We won’t manage to test every single person … I assume we will have more deaths than are officially recorded,” he said.
Wieler said the mortality rate would “continue to rise” in Germany. German minister’s suicide linked to coronavirus crisis
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Meanwhile, Merkel on Friday left her Berlin home for the first time in almost two weeks, after she was forced into quarantine following contact with an infected doctor.
Merkel was tested several times, with all tests coming back negative.
The 65-year-old leader has returned to her office, where she will continue to observe social distancing rules and lead the country via video and audio conferencing, her spokesman said.
Spain records over 900 virus deaths
Members of the Red Cross prepare food for families in need at a food bank in Ronda, Spain, on April 3, 2020. Photo: Reuters
on Friday recorded over 900 new coronavirus deaths over the past day, bringing the number of casualties to 10,935, in the first decline in new Covid-19 deaths in four days.
The country has the world’s second-highest death toll after Italy, but health ministry figures confirm a consistent downward trend in the rate of new cases and fatalities.
The 932 deaths on Friday was a smaller gain than Thursday’s 950, according to Health Ministry data. The number of confirmed cases also increased by less than the previous day, with 7,472 new infections taking the total to 117,710.
Why Europe’s hospitals – among world’s best – are struggling with virus
1 Apr 2020
Prime Minister Pedro Sanchez’s government has been struggling to bring the virus under control. Hospitals are overwhelmed, nursing homes have been especially hard hit in a nation with one of the world’s oldest populations, and the army has been mobilised.
Sanchez may extend the current four-week lockdown for another two weeks beyond April 11, Spanish media reported on Friday. The stay-at-home order limits people’s movement to shopping for food and essentials, while some workers are also allowed to circulate.
Passengers disembark from virus-hit cruise ship in Florida
The Zaandam cruise ship docked in Florida on Friday. Photo: TNS via ZUMA Wire/dpa
Passengers from an ill-fated cruise were carefully freed from their cabins and allowed to disembark on Friday, following the removal of 14 critically-ill people who were wheeled off to Florida hospitals bracing for an onslaught of coronavirus patients.
The exodus from the Zaandam and its sister ship the Rotterdam, both operated by Holland America Line, was expected to continue throughout the day.
Floridians were getting off first, followed by other passengers. Buses were taking people healthy enough to travel directly to the airport, where they will board chartered flights home without going through the terminal.
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“This is a humanitarian situation, and the County Commission’s top priority is protecting our 1.9 million residents while providing a contained disembarkation option for people on board who need to get safely home,” Broward County Mayor Dale Holness said in a statement late on Thursday.
Four people have died on the Zaandam, for reasons not yet disclosed. All told, 107 passengers and 143 crew reported flu-like symptoms during the voyage, but many have since recovered.
It was unclear when the bodies of four passengers who died on the Zaandam would be removed from the ship, which set sail on March 7, the day before the US State Department warned people against cruising during the pandemic.
South Korea’s infections top 10,000
South Korean hospital’s ‘phone booth’ coronavirus tests
on Friday said the number of confirmed coronavirus cases in the country has surpassed 10,000, with 174 deaths linked to Covid-19, the disease caused by the new virus.
The Health and Welfare Ministry reported 86 new coronavirus infections over 24 hours to the end of Thursday, taking the total to 10,062 cases. It also logged five more deaths.
The numbers confirmed an encouraging stabilisation of numbers, which have hovered around the 100 mark for the past three weeks, a clear downward trend which began in March after numbers peaked at the end of February with over 900 cases recorded in a day.
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For a fourth straight day, more new cases were recorded from Seoul and the surrounding Gyeonggi province, than in what has so far been the outbreak epicentre in the country – North Gyeongsang province and city of Daegu – with the capital area registering 34 new cases, and the latter recording 23.
Imported cases in patients recently returned from abroad also continued to increase, with 22 new infections bringing the total to 264.
Japan to give US$2,800 payouts to households
A man seen in a protective mask at Shinjuku in Tokyo, Japan, on April 2, 2020. Photo: EPA-EFE
Japanese ruling party executive Fumio Kishida said on Friday he has agreed with Prime Minister Shinzo Abe to offer 300,000 yen (US$2,800) in cash payments per household that suffers a certain degree of income declines from the coronavirus pandemic.
About 10 million of Japan’s 58 million households are expected to be eligible for the cash programme, a key pillar of an emergency economic package that the government plans to compile possibly on Tuesday.
The relief measure will be funded by a supplementary budget for this fiscal year that the government wants to pass in parliament before Japan’s Golden Week holiday starts in early May.
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The government will not set a household income limit for the cash handout, which will be tax free, officials said.
“If we set an income limit, we would have to check individual incomes, which would take a lot of time,” Yasutoshi Nishimura, minister in charge of economic and fiscal policy, told a press conference. “Instead of that, we’ll come up with an unprecedented way (to judge who should receive cash).”
Nishimura said recipients will be limited to those who are facing livelihood difficulties, and that civil servants, politicians and major corporate executives who have not been significantly affected by the economic impact of the virus outbreak, for example, will be excluded from the scheme.
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Abe said the government will provide cash “as soon as possible” not only to households but also to small-and mid-sized business operators that have seen their revenues drop.
Abe has said the package to tackle the coronavirus will be larger than the 56.8 trillion yen emergency package compiled in April 2009 following the previous year’s global financial crisis.
Indonesian Muslims banned from travelling home for Eid al-Fitr
A police officer in a coronavirus helmet sprays disinfectant at a motorcycle in East Java, Indonesia, on April 3, 2020. Photo: AP
Islamic scholars in Indonesia on Friday issued an edict to forbid people from travelling home for Eid al-Fitr, the festival marking the end of the Muslim fasting month of Ramadan, as the country recorded nearly 2,000 infections during the
decided to allow millions of Muslims to travel to celebrate Eid in their hometowns next month, despite fears that they could spread the Covid-19 disease.
“The virus spreads very easily. Doing something like that at a time of a pandemic is haram [forbidden],” the council’s sectary general Anwar Abbas said.
Eid al-Fitr is expected to start on May 23, depending on the sighting of the new moon.
Indonesia frees 18,000 prisoners as virus death toll surges to 170
2 Apr 2020
Indonesia confirmed 196 new infections on Friday, bringing the total number of cases to 1,986.
The death toll rose to 181 after 11 new deaths, making Indonesia the the country with the highest number of fatalities in Asia outside China.
The State Intelligence Agency warned that the outbreak in Indonesia could peak in June with more than 105,000 cases.
Thailand’s night curfew to begin; people banned from making virus pranks
An officer checks the temperature of a passenger in a bus at a health checkpoint in Bangkok, Thailand, on April 3, 2020. Photo: AP
Thailand will on Friday night begin a daily nationwide curfew to try to curb the spread of the coronavirus.
The 10pm-4am curfew, which will run indefinitely, is the latest measure by the government to curb gatherings and have people stay at home as much as possible.
Exceptions include those people transporting medical supplies and health workers travelling to and from work, Prime Minister Prayuth Chan-ocha said.
“We prioritise health over freedom,” Prayuth said. “We might not feel as comfortable as before, but we all need to adapt for survival and have social responsibility, so that we can make it through this crisis.”
In a televised address, Prayuth also asked all Thai citizens abroad to “delay” returning to
until after April 15 in a bid to stop imported cases.
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Thais have also been banned from making public gatherings, in an order signed on Friday by defence forces chief General Pornpipat Benyasri.
The order prohibits people from public gatherings, carrying out activities, or gathering for unlawful purposes in a manner that risks spreading the coronavirus.
It also bans any act that aggravates people’s suffering and pranks to spread the virus. Family gatherings at residences and civic activities carried out according to safe social distancing guidelines are allowed.
Violation of the order carries a maximum penalty of two years’ imprisonment and a fine of 40,000 baht (US$1,215).
Pakistan’s mosques remain open amid shutdowns
Coronavirus: In Pakistan food aid is distributed to the poor in Karachi
Mosques in Pakistan were allowed to remain open on Friday, when adherents gather for weekly prayers, even as much of the country had shut down.
Pakistan, with 2,450 confirmed coronavirus cases and 35 deaths, has been sharply criticised for moving too slowly to curb large gatherings.
Prime Minister Imran Khan was relying on restricting the size of congregations attending mosques and advice to stay at home from religious groups like the country’s Islamic Ideology Council.
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However, some provinces had issued their own lockdown orders to prevent Muslims from gathering for Friday prayers.
In southern Sindh province, a complete lockdown was being enforced from noon until 3pm, the time when the faithful gather for prayers. Anyone found on the streets would be arrested, according to the provincial local government minister in a statement.
In eastern Punjab province, where 60 per cent of Pakistan’s 220 million people live, checkpoints had been set up in major cities stopping people from congregating.
Tunisia ‘robocop’ enforces virus lockdown
The PGuard robot patrols the streets of Tunis, in Tunisia, on April 1, 2020. Photo: EPA-EFE
Tunisia’s interior ministry has deployed a police robot to patrol the streets of the capital and enforce a lockdown as the country battles the spread of coronavirus.
Known as PGuard, the “robocop” is remotely operated and equipped with infrared and thermal imaging cameras, in addition to a sound and light alarm system.
In images and a soundtrack posted on the interior ministry’s website last month, PGuard calls out to suspected violators of the lockdown: “What are you doing? Show me your ID. You don’t know there’s a lockdown?”
The PGuard robot checks the exit permit of a citizen in Tunis on April 1, 2020. Photo: EPA-EFE
Tunisia has been under night-time curfew since March 17 and authorities imposed stricter lockdown orders from March 22.
Fourteen people have died from coronavirus in Tunisia, where 455 confirmed cases have tested positive for the disease.
The robot’s Tunisian creator Anis Sahbani said the machine was first produced in 2015 essentially to carry out security patrols and it also operates autonomously through artificial intelligence.
The robot, built by Sahbani’s Enova Robotics firm, costs between 100,000 and 130,000 euros (US$100,000 and $140,000), and has been selling mostly overseas to companies for security uses.
France death tally passes 5,000
A cashier runs a store counter covered up with a plastic barrier in Paris, France, on April 3, 2020. Photo: Xinhua
reported a jump in coronavirus deaths on Thursday as the country included fatalities in some nursing homes for the first time. Still, a decline in intensive-care admissions suggest the country’s lockdown is starting to slow the pace of the outbreak.
The health ministry reported 471 new hospital deaths from the coronavirus on Thursday. In addition, it reported 884 deaths in a partial count from nursing homes, bringing the total number to 5,387. Nursing homes were not previously included in the statistics.
in number of deaths, behind Italy and Spain. The number of confirmed cases is now at 59,105.
Italy reported another 760 fatalities on Thursday. Its death toll, already the world’s highest, now stands at 13,915. Total infections, including recoveries and deaths, have reached 115,242.
Spain reported 950 more deaths from the coronavirus, the most in a single day, taking the total to 10,003.
India plans staggered exit from lockdown
Indian policemen in Hyderabad, India, wear virus-themed helmets for a campaign to raise awareness at preventing the spread of the coronavirus on April 2, 2020. Photo: AP
infections, but the world’s biggest shutdown has left millions without jobs and forced migrant workers to flee to their villages for food and shelter.
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He told state chief ministers that the shutdown had helped limit infections but that the situation remained far from satisfactory around the world and there could be a second wave.
“Prime minister said that it is important to formulate a common exit strategy to ensure staggered re-emergence of the population once lockdown ends,” the government quoted him as saying in a video conference.
India has had 2,069 confirmed infections, of whom 53 have died, low figures by comparison with the US, China, Italy and Spain. But the big worry is the
because of a gathering held by a Muslim missionary group last month that has spawned dozens of cases across the country, officials said.
Five-minute virus tests ‘may give inaccurate results’
A Chinese drug and diagnostic firm has cautioned that the slew of new test kits that promise to detect the coronavirus in just a few minutes may not be as accurate as conventional kits, a potential setback for countries seeking to rapidly test their citizens.
“Such rapid testing is not as accurate as the traditional nucleic acid test that takes about two hours to turn out results,” Wu Yifang, Shanghai Fosun Pharmaceutical Group’s chief executive officer, said. The drugmaker also has a swift testing technology but it’s working on making the results more accurate, according to Wu.
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Abbott Laboratories unveiled a coronavirus test on March 28 that can confirm if someone is infected in as little as five minutes. Shenzhen Bioeasy Biotechnology has been supplying its version of rapid testing kits to the European Union even before getting regulatory approval in China for domestic use.
The faster and easy-to-deploy diagnostic kits seemingly save time and resources for nations under pressure to widen their testing efforts. But there have been reports of faulty kits, like those bought by Spain and the Czech Republic.
Shenzhen Bioeasy, which sold thousands of test kits to Spain, said in a statement on March 27 that false results could be due to improper use of its kits or faulty specimen collection.
Trump tests negative again
US President Donald Trump was was first tested last month after coming into contact with a Brazilian official who later tested positive. Photo: UPI/Bloomberg
US President Donald Trump on Thursday was tested again to determine whether he had been infected by the coronavirus, and the test came back negative, the White House said.
A letter from Trump’s doctor, Sean Conley, said Trump had undergone what was a second test for coronavirus. He was tested last month after coming into contact with a Brazilian official who later tested positive.
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Conley said in a letter released by the White House that Trump was tested with a new, rapid point-of-contact test and the result came back in 15 minutes.
“He is healthy and without symptoms,” Conley said.
Trump said Americans should wear protective face masks if they wish. “If people want to wear them, they can” he said. Scarves work just as well, he said.
NRA sues NY governor over closure of gun stores
A pedestrian pushes a stroller as people wait in line outside a gun store to buy supplies on March 15, 2020. Photo: Reuters
The National Rifle Association (NRA) sued New York Governor Andrew Cuomo for closing gun shops during the coronavirus pandemic, saying the restriction is unconstitutional and leaves citizens defenceless while prisoners are being released early as a result of the crisis.
Cuomo’s March 20 executive order that included firearms retailers as non-essential businesses, which must close is a “pointless and arbitrary attack on the constitutional rights of New York citizens and residents,” the NRA said in a complaint filed late Thursday in Syracuse, New York.
New York ordered most businesses to close to prevent the spread of the virus, but deemed grocery stores, liquor stores, pharmacies and restaurants that do take-out as essential and allowed them to remain open.
The New York lawsuit follows similar action the NRA took in Northern California, where it sued several cities including San Jose for ordering gun stores to close.
Corona beer producer halts brewing
The Mexican brewer of Corona beer said on Thursday it was suspending production because of the health emergency in the country over the Covid-19 pandemic.
Grupo Modelo said the measure was in line with the Mexican government’s order to suspend all non-essential activities until April 30 to slow the spread of coronavirus.
“We are in the process of lowering production at our plants to the bare minimum,” the company said in a statement, adding it would complete the suspension in the following days.
Mexico’s government has said that only key sectors such as agribusiness will be able to continue to function.
US stops issuing passports, except in emergencies
The US State Department will not be processing new passports and renewals except for emergency cases because of the coronavirus pandemic, the agency’s website said.
“Due to public health measures to limit the spread of Covid-19, effective March 20, 2020, we are only able to offer service for customers with a qualified life-or-death emergency and who need a passport for immediate international travel within 72 hours,” said a March 27 online statement.
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Passport applications received on or before March 19 will be processed.
Travellers who paid extra for expedited service can expect to receive their passport in the next two to three weeks.
If you applied in-person at a passport agency or centre before March 19, the agency will contact you about getting your passport.
not long ago – unless they have a child addicted to the wildly popular app, on which users make and share short, amusing videos.
It has grown explosively since its 2016 launch, with 800 million monthly active users now – 300 million of them outside China in places such as India (120 million) and the
(37 million). And many have no idea it is owned by a Chinese company, ByteDance.
The first Chinese app to mount a real global challenge to Facebook and Instagram, it is seen as one of the shiniest new weapons in the US-China technology war. And a boost, perhaps, to Chinese soft power.
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It experienced a growth spurt in 2019 that analysts predicted would slow a little this year. That, however, was before the coronavirus, which seems to be giving the app a bump, especially beyond its core teenage fan base.
As pandemic fears rise and millions are stuck indoors, major Hollywood celebrities such as Jennifer Lopez, 50, have taken to posting their own all-singing, all-dancing videos, which then go viral on other media platforms.
Even the World Health Organisation has jumped on the bandwagon, joining the app in late February to share public health advice.
The TikTok logo on a smartphone. Photo: Getty Images
But to some, the growth of TikTok is far from benign.
Privacy advocates and several US congressmen want to rein in the app over concerns it may censor and monitor content for the Chinese government, and be used for misinformation and election interference. This despite the fact that TikTok keeps its servers outside China and swears it will not hand over user data.
Are these fears justified – or fuelled by political and anticompetitive motives?
Thinkers such as Yuval Noah Harari warn that the coronavirus pandemic could be a watershed in the history of mass surveillance.
But Eric Harwit, a professor of Asian studies at the University of Hawaii, does not buy such arguments against TikTok, especially given that 60 per cent of its US users are aged 16 to 24.
“ByteDance has done a pretty good job of having a firewall between TikTok and the Chinese version of it, Douyin.
TikTok, iPhone: all you need to escape Mumbai’s slums – for 15 seconds
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“Also, many users in the US are teens and they’re not a particularly useful source of national security information.
“So I’d say the concerns are motivated more by a general fear of any kind of Chinese telecommunication application rather than actual attempts to siphon off valuable US intelligence information.
“And Facebook and other American companies have similar products,” Harwit points out. “US government officials will always want to protect American commercial interests.”
Sarah Cook, a China analyst for Freedom House – the US government-funded think tank – disagrees.
“We have concerns about how Facebook and Twitter deal with information affecting electoral politics, and that’s magnified if you’re talking about a Chinese company that now has a user base that rivals theirs.”
Chinese officials, she argues, have shown a willingness to censor and manipulate information well beyond their country’s borders – for instance, regarding the scale of the initial outbreak in Wuhan, an obfuscation that may have exacerbated its impact abroad.
“For those who think Chinese government censorship is only Chinese people’s problem, this pandemic shows how much that’s not the case.
“And even if it’s not happening right now with TikTok, the concern is that Chinese companies are beholden to their government, whether they want to be or not.
“I’m not saying block TikTok entirely,” she says. “It’s a question of looking at it in a democratic system and deciding on reasonable oversight and safeguards to protect users and information flows when that time comes.”
When it comes to expanding China’s cultural influence, though, neither Cook nor Harwit believes the app is especially effective.
Most people are oblivious to its Chinese origins, which the user experience does not reflect in any way. So there is no goodwill-generating soft power of the sort wielded by, say,
If anything, TikTok often promotes the increasingly homogenous, Western-leaning culture seen on many globally popular social media apps.
So says Morten Bay, a lecturer in digital and social media at the University of Southern California’s Annenberg School for Communication and Journalism.
“A semi-Western culture, with small variations of local culture, is becoming the norm on social media. And Chinese soft power is difficult to assert because there’s no value difference.”
And even if Chinese tech companies keep taking bigger bites of the Western market, he is sceptical of China’s “ability to leverage that for soft power in a geopolitical sense”.
“Because there is a very big apparatus pushing against China in that regard. As soon as TikTok started gaining traction in the US, people came out against it, trying to make everyone aware of the privacy and geopolitical issues.
The #KaunsiBadiBaatHai campaign on TikTok aims to raise awareness about women’s safety issues in India. Image: TikTok
“So China faces a lot of resistance,” Bay concludes. “And I’m not sure a social media platform on its own can do much about that.”
Still, if you had to back a horse in this race, TikTok would be it, says Zhang Mengmeng.
When she and her colleagues from global industry analysis firm Counterpoint Research visited the company, they were impressed by its research and development capabilities.
“Because they’re a very young company, their pace for incubating new projects is a lot faster, especially compared to successful but older internet companies in China which have been around for 15 to 20 years.
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“They have lots of little start-up projects within the company and their organisational structure is very flat – it doesn’t matter what your age is, if you have a good idea, you get promoted very quickly.”
TikTok’s rise is also emblematic of a broader role reversal in the US-China tech war, she believes.
“Before, the US was more advanced in terms of internet development and China seemed to just copy its new ideas. Now, this is reversing. There are so many people in China using the internet that start-ups there can test ideas very easily.
“So now it seems like a lot of US companies are trying to see what ideas are coming out of China.” ■
Image copyright GETTY IMAGESImage caption India has an estimated 48,000 ventilators and most of them are already in use
In an 8,000 sq ft (743 sq m) facility in the western Indian city of Pune, a bunch of young engineers are racing against time to develop a low-cost ventilator that could save thousands of lives if the coronavirus pandemic overwhelms the country’s hospitals.
These engineers – from some of India’s top engineering schools – belong to a barely two-year-old start-up which makes water-less robots that clean solar plants.
Last year, Nocca Robotics had a modest turnover of 2.7 million rupees ($36,000; £29,000). The average age of the mechanical, electronic and aerospace engineers who work for the firm is 26.
India, by most estimates, only has 48,000 ventilators. Nobody quite knows how many of these breathing assistance machines are working. But it is a fair assumption that all those available are being used in intensive care units on existing patients with other diseases.
About one in six people with Covid-19 gets seriously ill, which can include breathing difficulties. The country faces seeing its hospitals hobbled as others around the world have been, with doctors forced to choose who they try to save.
At least two Indian companies make ventilators at present, mostly from imported components. They cost around 150,000 ($1,987; £1,612) rupees each. One of them, AgVa Healthcare, plans to make 20,000 in a month’s time. India has also ordered 10,000 from China, but that will meet just a fraction of the potential demand.
The invasive ventilator being developed by the engineers at Nocca Robotics will cost 50,000 rupees ($662). Within five days of beginning work, a group of seven engineers at the start-up have three prototypes of a portable machine ready.
They are being tested on artificial lungs, a prosthetic device that provides oxygen and removes carbon dioxide from the blood. By 7 April, they plan to be ready with machines that can be tested on patients after approvals.
Image copyright GETTY IMAGESImage caption India is beefing up isolation beds in hospitals
“It is most certainly doable,” said Dr Deepak Padmanabhan, a cardiologist at Bangalore’s Jayadeva Institute of Cardiovascular Sciences and Research, and a key advisor on this project. “The simulations on artificial lungs have been done and seem to work well.”
Inspiring story
The race to develop this inexpensive, home-grown invasive breathing machine is an inspiring story of swift coordination and speedy action involving public and private institutions, something not common in India.
“The pandemic has brought us all together in ways I could never imagine,” says Amitabha Bandyopadhyay, a professor of biological sciences and bioengineering at Indian Institute of Technology (IIT), Kanpur, and a key mover of the project.
The young engineers mined open source medical supplies groups on the internet to find information on how to make the ventilators. After securing permissions, it took them exactly eight hours to produce the first prototype. Of particular use, say doctors, were some designs by engineers at MIT. With imports stalled, the engineers picked up pressure sensors – a key component of the machine that helps supply oxygen to lungs at a pressure that doesn’t cause injury – from those used in drones and available in the market.
Image copyright AFPImage caption India needs thousands of ventilators to cope with a possible rush of patients
Local authorities helped open firms that stock components – each machine needs 150 to 200 parts – and made sure that a bunch of engineers who had returned home to Nanded after the lockdown were still able to travel 400km (248 miles) back to Pune to work on the machine.
Some leading Indian industrialists, including a major medical device-making company, have offered their factories to manufacture the machines. The plan is to make 30,000 ventilators, at around 150-200 a day, by the middle of May.
Social media influencers joined the effort. Rahul Raj, a lithium battery-maker and an IIT alumnus, crowd-sourced a group called Caring Indians to “pool resources and experience” to cope with the pandemic. Within 24 hours, 1,000 people had signed up. “We tweeted to the local lawmaker and local police in Pune to help the developers, and made contacts with people who would be interested in the project,” Mr Raj said.
‘No-frills machine’
Expat Indian doctors and entrepreneurs who went to the same school – IIT is India’s leading engineering school and alumni include Google chief Sundar Pichai – held Zoom meetings with the young developers, advising them and asking questions about the machine’s development. The head of a US-based company gave them a 90-minute lecture on how to manage production. A former chief of an info-tech company told them how to source the components.
Lastly, a bunch of doctors vetted every development and asked hard questions. In the end, more than a dozen top professionals – pulmonologists, cardiologists, scientists, innovators, venture capitalists – have guided the young team.
Doctors say the goal is to develop a “no-frills” breathing machine tailored to Indian conditions.
Ventilators depend on pressurised oxygen supply from hospital plants. But in a country where piped oxygen is not available in many small towns and villages, developers are seeing whether they can also make the machine run on oxygen cylinders. “In a way we are trying to de-modernise the machine to what it was barely 20 years ago,” says Dr Padmanabhan.
“We are not experienced. But we are very good at making products easily. The robots that we make are much more complex to make. But this is a life-saving machine and carries risk, so we have to be very, very careful that we develop a perfect product which clears all approvals,” said Nikhil Kurele, the 26-year-old co-founder and chief executive officer of Nocca Robotics.
In just a week’s time, India will learn whether they pulled off the feat.
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