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.
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Image caption Passengers gathered outside Secundarabad station in Andhra Pradesh state
India has partially restored train services amid reports of chaos and overcrowding at some stations.
At least 145,000 people will travel in trains on Monday as the country starts to reopen after a prolonged lockdown.
Two hundred trains will now start operations – up from the existing 30 that are currently running.
But maintaining social distancing and cleanliness is proving to be a difficult task as huge crowds gathered outside some stations.
India’s mammoth railway network usually carries 25 million passengers every day.
The ministry of home affairs has issued specific guidelines for the smooth operation of train services. They say that all passengers will have to be screened, social distancing must be followed at the station and in trains and only passengers who have confirmed tickets will be allowed to travel.
Image caption Police struggled to enforce social distancing due to large crowds
But some stations reported chaotic scenes as officials struggled to enforce these guidelines. BBC Telugu reported that people were standing much too close to each other at Secunderabad railway station in the southern state of Telangana.
“Railway staff and police didn’t allow passengers to go inside the station until at least one hour before the scheduled departure, citing physical distancing measures. This led to some chaos outside the railway station as a large number of passengers had gathered and there was no physical distance maintained. Police later arrived and organised the queues,” BBC Telugu’s Sharath Behara says.
Reporting from Delhi, BBC Hindi’s Salman Ravi said strict social distancing was being followed when passengers boarded trains, and all of them wore masks.
Image caption Passengers waiting outside the train station in Delhi
“But the same was not observed at ticket booking counters. Many people who did not have tickets also turned up at the station and that caused crowding,” he added.
Train services came to a grinding halt when Prime Minister Narendra Modi announced the lockdown on 24 March to stop the spread of coronavirus.
This left millions of daily-wage workers stranded as they desperately tried to go back to their villages from cities. Many of them decided to walk long distances – in some cases more than 1,000 kilometres.
As pressure and criticism mounted, the government started running special trains to ferry migrants. Some 30 trains restarted on 12 May, since then there has been a consistent demand to reopen more routes.
Getting the train network going again is part of the government’s wider strategy to slowly reopen the economy. Millions have lost jobs and factories are struggling to reopen as demand is likely to be sluggish in the coming weeks.
Image copyright GETTY IMAGESImage caption Within a week of reopening, India has seen a sharp spike in cases
India is roaring – rather than inching – back to life amid a record spike in Covid-19 infections. The BBC’s Aparna Alluri finds out why.
On Saturday, India’s government announced plans to end a national lockdown that began on 25 March.
This was expected – the roads, and even the skies, have been busy for the last 10 days since restrictions started to ease for the first time in two months. Many businesses and workplaces are already open, construction has re-started, markets are crowded and parks are filling up. Soon, hotels, restaurants, malls, places of worship, schools and colleges will also reopen.
But the pandemic continues to rage. When India went into lockdown, it had reported 519 confirmed cases and 10 deaths. Now, its case tally has crossed 173,000, with 4,971 deaths. It added nearly 8,000 new cases on Saturday alone – the latest in a slew of record single-day spikes.
Image copyright GETTY IMAGESImage caption Fast food chains like McDonald’s have begun reopening outlets in parts of India.
So, why the rush to reopen?
The lockdown is simply unaffordable
“It’s certainly time to lift the lockdown,” says Gautam Menon, a professor and researcher on models of infectious diseases.
“Beyond a point, it’s hard to sustain a lockdown that has gone on for so long – economically, socially and psychologically.”
From day one, India’s lockdown came at a huge cost, especially since so many of its people live on a daily wage or close to it. It put food supply chains at risk, cost millions their livelihood, and throttled every kind of business – from car manufacturers to high-end fashion to the corner shop selling tobacco. As the economy sputtered and unemployment rose, India’s growth forecast tumbled to a 30-year-low.
Raghuram Rajan, an economist and former central bank governor, said at the end of April that the country needed to open up quickly, and any further lockdowns would be “devastating”.
The opinion is shared by global consultant Mckinsey, whose report from earlier this month said India’s economy must be “managed alongside persistent infection risks”.
Image copyright GETTY IMAGESImage caption As restrictions ease, Indians are slowly getting used to the new normal
“The original purpose of the lockdowns was to delay the spike so we can put health services and systems in place, so we are able handle the spike [when it comes],” says Dr N Devadasan, a public health expert. “That objective, to a large extent, has been met.”
In the last two months, India has turned stadia, schools and even train coaches into quarantine centres, added and expanded Covid-19 wards in hospitals, and ramped up testing as well as production of protective gear. While grave challenges remain and shortages persist, the consensus seems to be that the government has bought as much time as possible.
“We have used the lockdown period to prepare ourselves… Now is the time to revive the economy,” Delhi Chief Minister Arvind Kejriwal said last week.
The silver lining
For weeks, India’s relatively low Covid-19 numbers baffled experts everywhere. Despite the dense population, disease burden and underfunded public hospitals, there was no deluge of infections or fatalities. Low testing rates explain the former, but not the latter.
In fact, India made global headlines not for its caseload but for its botched handling of the lockdown – millions of informal workers, largely migrants, were left jobless overnight. Scared and unsure, many tried to return home, often desperate enough to walk, cycle or hitchhike across hundreds of kilometres.
Perhaps the choice – between a virus that didn’t appear to be wreaking havoc yet, and a lockdown that certainly was – seemed obvious to the government.
But that is changing quickly as cases shoot up. “I suspect we will keep finding more and more cases, but they will mostly be asymptomatic or will have mild symptoms,” Dr Devadasan says.
The hope – which is also encouraging the government to reopen – is that most of India’s undetected infections are not severe enough to require hospitalisation. And so far, except in Mumbai city, there has been no dearth of hospital beds.
The government, for instance, has been touting India’s mortality rate as a silver lining – at nearly 3%, it’s among the lowest in the world.
But some are unconvinced by that. Dr Jacob John, a prominent virologist, says India has never had, and still doesn’t have, a robust system for recording deaths – in his view, the government is certainly missing Covid-19 deaths because they have no way of knowing of every fatality.
Image copyright GETTY IMAGESImage caption Indians are venturing out again but it’s unclear how many of them are asymptomatic.
And, he says, “what we must aim for is flattening the mortality curve, not necessarily the epidemic curve”.
Dr John, like several other experts, also predicts a peak in July or August, and believes the country is reopening so quickly because the “government realised the futility of such leaky lockdowns”.
A shift in strategy
So is the government gearing up for another lockdown when the peak comes?
While Dr Menon believes the lockdown was well-timed, he says it was too focused on cases coming from abroad.
“There was a hope that by controlling that, we could prevent epidemic spread, but how effective was our screening [at airports]?”
Now, he adds, is the time for “localised lockdowns”.
Media caption Coronavirus: Death and despair for migrants on Indian roads
The federal government has left it to states to decide where, how and to what extent to lift the lockdown as the virus’ progression varies wildly across India.
Maharashtra alone accounts for more than a third of India’s active cases. Add Tamil Nadu, Gujarat and Delhi, and that makes up 67% of the national total.
But other states – such as Bihar – are already seeing a sharp uptick as migrant workers return home.
“Initially, most of your cases were in the cities,” Dr Devadasan says. “But we kept the migrant workers in cities and didn’t allow them to go home. Now, we are sending them back. We have facilitated transporting the virus from urban areas to rural areas.”
While the government has said how many infections have been avoided – up to 300,000 – and lives saved – up to 71,000 – by the lockdown, there is no indication of what lies ahead.
There is only advice: The day the government began to ease restrictions, Mr Kejriwal tweeted, urging people to “follow discipline and control the coronavirus disease” as it was their “responsibility”.
Image copyright GETTY IMAGESImage caption Social distancing will prove to be India’s biggest post-lockdown challenge
Because the alternative – of curfews and constant policing – is unsustainable.
“My worry is more the circumstances of people – it’s not as though they have an option to practise social distancing,” Dr Menon says.
And they don’t – not in joint family homes or one-room hovels packed together in slums, not in crowded markets or busy streets where jostling is second nature, or in temples, mosques, weddings or religious processions where more is always merrier.
The overwhelming message is that the virus is here to stay, and we have to learn to live with it – and the only way to do that, it appears, is to let people live with it.
The plight of these workers, many of whom have been walking for days without adequate food and water, has caused widespread anger in the country.
Train and bus services were shut during the lockdown and even though some have been restarted for migrants, many say they cannot afford the fare and are unsure if they will be accommodated on them due to social distancing norms.
Several have died in making the journey, including 16 migrants who were run over by a train while they were sleeping on the railway tracks.
Media caption Coronavirus: Heartbreaking scenes as India lockdown sparks mass migration
Ms Sitharaman also announced that workers would be able to use ration cards – usually only valid at village level – anywhere in the country regardless of where it was issued.
The ration cards usually entitle holders to subsidised food.
She added that the move towards portable cards would benefit nearly 670 million people and will be completed by March next year.
The government will also provide affordable housing for migrant labour by converting existing vacant government funded housing complexes, among other things.
The announcements on Thursday – the second tranche of a series of economic stimulus measures – were aimed at migrant workers, street hawkers, small traders and small farmers.
The full details of the economic package, which is equivalent to 10% of India’s gross domestic product, will be known in some days as the government is announcing a different tranche every day.
Ms Sitharaman’s announcements also included details of “special credit” to be provided to five million street hawkers who have been forced to cease working over the last month and a half.
To help farmers, the government also announced an emergency $4bn “working capital funding” which would benefit some 30 million small farmers to meet crop requirements in May and June
In March, India said it would provide around 1.7 trillion rupees in direct cash transfers and food security measures, mainly for the poor.
However, Mr Modi’s administration had been accused in some quarters of not having done enough.
Pou Chen makes footwear for the likes of Nike and Adidas, but says it has suffered from a lack of orders as global value chains strain under the impact from the virus
Chinese workers moved to Vietnam to help set-up new factories as the company expand its production, but have now become expendable
With the likes of Nike and Adidas closing retail stores around the world to comply with social distancing requirements, analysts also said orders plummeted 50 per cent in the second quarter, although the company declined to comment on the media reports. Photo: Bloomberg
A group of 150 Chinese workers believe the world’s largest maker of trainers used the coronavirus as an excuse to fire them, having helped Taiwanese firm Pou Chen successfully expand its production into Vietnam for more than a decade.
Pou Chen, which makes footwear for the likes of Nike and Adidas, informed the group in late April that they would no longer be needed as they were unable to return to
from their hometowns in China due to the coronavirus lockdowns.
“We believe we contributed greatly to the firm’s relocation process, copying the production line management experience and successful model of China’s factories to Vietnamese factories,” said Dave Zhang, who started working for Pou Chen in Vietnam in 2003.
“Now, when the factories over there have matured, and there is a higher automation level in production, our value has faded in the management’s eyes and we got laid off, in the name of the automation level.”
Rush hour chaos returns to Vietnam’s streets as coronavirus lockdown lifted
The group claims the firm began to fire Chinese employees several years ago, with the total number dropping from over 1,000 at its peak to around 400 last year.
“We 150 employees were the first batch of Chinese employees to be laid off this year. We are all pessimistic and expect more will be cut,” added Zhang.
In its email on April 27, Pou Chen said it was forced to terminate the contracts of the Chinese employees across five of its factories due to an unprecedented decline in orders and financial losses.
The Chinese employees, many of whom have been working for the shoemaker for decades, said the compensation offered was unfair and below the levels required by labour law in both Vietnam and China.
In a further statement to the South China Morning Post, Pou Chen stood by the move as the coronavirus pandemic had reduced demand for footwear products and so required an “adjustment of manpower.”
“[The dismissals were] in accordance with the relevant labour laws of the country of employment … and employee labour contracts,” added the statement from Pou Chen, which employs around 350,000 people worldwide.
Company data showed Pou Chen’s first quarter revenues tumbled 22.4 per cent year-on-year to NT$59.46 billion (US$1.99 billion), the weakest in six years.
With the likes of Nike and Adidas closing retail stores around the world to comply with social distancing requirements, analysts also said orders plummeted 50 per cent in the second quarter, although the company declined to comment on the media reports.
Last month, the company was also mulling pay cuts and furloughs that would affect 3,000 employees in Taiwan and officials based in its overseas factories, according to the Taipei Times.
Andy Zeng, who had worked for the firm since 1995, said the group were “very upset” when they received the news last month as the impact of the coronavirus pandemic began to reverberate around the world, disrupting global value chains.
“Most of us joined Pou Chen in the 1990s when we were in our late teens or early 20s, when the Taiwan-invested company started investing and setting up factories in mainland China. Now more than two decades have passed,” he said.
Zeng was among the first generation of skilled workers in China as Pou Chen developed rapidly, enjoying the benefits of cheap labour, although the workers themselves were rewarded with regular pay rises.
The company needed a group of skilled Chinese workers to go to its new factories in Vietnam. I said yes because I thought it was a good opportunity to see the outside world – Andy Zeng
“I worked at the Dongguan branch of Pou Chen for 11 years from 1995.” Zeng added “In the 1990s and early 2000s, the company expanded rapidly in Dongguan with a growing number of large orders, and every worker had to work hard around the clock. I remember I earned 300 yuan (US$42) a month in 1995, and my monthly salary rose to 1,000 yuan (US$141) in 1998.”
Zeng’s salary eventually rose to over 3,000 yuan in 2005 as China’s economy boomed, leading Pou Chen to seek alternative production sites in Vietnam and Indonesia where labour and land were even cheaper. However, in the early 2000s, the new locations lacked skilled shoe manufacturing workers like Zeng.
“The company needed a group of skilled Chinese workers to go to its new factories in Vietnam. I said yes because I thought it was a good opportunity to see the outside world and the offer of US$700 per month was not bad.” Zeng said.
“We actively cooperated with their plans. Over the past decade, we have been away from our families and hometowns, and followed the company’s strategy to work hard in Vietnam.
With no deaths and cases limited to the hundreds, Vietnam’s Covid-19 response appears to be working
“In 2005, the company sent me to its newly-built factory in Vietnam. This year was my 14th year in Dong Nai in Vietnam. I have witnessed the company’s production capacity in Vietnam become larger and larger. When I arrived, there were only a few production lines, and now there are at least dozens of them, employing more than 10,000 workers in each factory.”
According to a report in the Taipei Times on April 14, citing both Reuters and Bloomberg, Pou Chen was ordered to temporarily shut down one of its units in Vietnam over coronavirus concerns, according to Vietnamese state media.
The company was forced to suspend production for two days after failing to meet local rules on social distancing, Tuoi Tre newspaper reported.
“We Chinese employees actually were pathfinders for the company’s relocation from China to Vietnam,” said Zhang, who was in charge of a 1,700-worker factory producing 1.7 million shoe soles per month.
What our Chinese employees have done in Vietnam for more than a decade can be said to be very simple but very difficult – Dave Zhang
“We were sent to resolve any ‘bottlenecks’ in the production lines that were slowing down the rest of the plant, because during the launch of every new production line, Vietnamese workers would strike and get into disputes. As far as I know, there were over a thousand Chinese employees managing various aspects of the production lines in the company’s Vietnamese factories.
“In fact, what our Chinese employees have done in Vietnam for more than a decade can be said to be very simple but very difficult. That is to teach Vietnamese workers our experience of working on a production line, improve the productivity of the Vietnamese workers, and help the factories become localised.”
Overall, Pou Chen says it produces more than 300 million pairs of shoes per year, accounting for around 20 per cent of the combined wholesale value of the global branded athletic and casual footwear market.
“Because of cultural shock and great pressure to expedite orders, Vietnamese workers were not used to the management style of Taiwan factories,” Zhang added.
“Many of our Chinese employees were beaten by Vietnamese workers [due to cultural differences about work]. During anti-China protests in Vietnam, we were still under great pressure to keep the local production lines operating.”
Most rides and attractions will be back in action from Monday, but social distancing means there’ll be no night-time parades or selfies with the cartoon stars
Disney CEO says visitor numbers will initially be kept below the 30 per cent cap set by China’s central government
Disneyland Shanghai is reopening but not all of the magic will be back immediately. Photo: DPA
Shanghai Disneyland has announced it will reopen on Monday, but with some adjustments to its usual operations as China continues its re-emergence from the
While most of the park’s rides and attractions, including all of its shops, cafes and restaurants, will be open, several theatre shows and children’s play areas will remain closed, the company said.
To prevent large groups gathering, parades and night-time “spectaculars” will also remain on hold for the time being, and visitors will be prohibited from engaging in close interaction, including, taking selfies with the cartoon characters, it said.
China’s central government ruled earlier that tourist attractions can reopen but only if they cap visitor numbers at 30 per cent of their capacity.
Walt Disney’s new chief executive Bob Chapek told investors in the United States on Tuesday that the park had capacity for 80,000 visitors a day, which meant it would be restricted to 24,000 under Beijing’s rules.
However, the park would initially allow even fewer people through its gates, and only slowly build up to the cap, he said.
All guests will be required to wear face masks for the duration of their stay, except when dining, the company said.
Public areas will be cleaned more regularly than normal and hand sanitiser will be provided throughout the park, it said.
Tickets will be available online only from Friday, and all customers are required to submit their personal information when making a purchase.
Disneyland Shanghai has been closed since January 25. Photo: Xinhua
Disneyland Shanghai closed its doors on January 25 as the Covid-19 epidemic was reaching its peak in China. The decision to reopen came after the successful relaunch in March of the company’s Disneytown commercial zone, Wishing Star Park and Shanghai Disneyland Hotel, all of which neighbour the park.
Shanghai will be the first of six Disneylands to reopen since the onset of the Covid-19 pandemic, which has so far sickened close to 3.7 million people around the world and killed more than 256,000. Mainland China reported two new infections on Wednesday, both of which were imported.
The park opened in June 2016 and received more than 13 million visitors in its first 14 months of operation.
Hong Kong Disneyland has been closed since January 26, while the operators of Tokyo Disneyland said a decision on when it might reopen would be taken in the middle of May.
On Tuesday, Disney reported a US$1.4 billion cut in profits for the latest quarter, mainly due to disruptions to its theme parks caused by the coronavirus pandemic.
During the Labour Day holiday in mainland China, which fell on the first five days of May, more than 115 million trips were made in the country, down from 195 million a year earlier, according to the Ministry of Culture and Tourism.
Buffett’s Berkshire posted a record quarterly net loss of nearly US$50 billion
Company sells entire stakes in US airlines, Buffett says ‘world has changed’
Warren Buffett speaks during the virtual Berkshire Hathaway annual shareholders meeting. Photo: Bloomberg
Billionaire investor Warren Buffett said Saturday he’s confident the US economy will bounce back from its pummelling by the coronavirus pandemic because “American magic has always prevailed”.
The 89-year-old made the sanguine prediction about the world’s largest economy as his holding company Berkshire Hathaway reported first-quarter net losses of nearly US$50 billion.
Buffett also announced Saturday that his company had sold all its stakes in four major US airlines last month, as the pandemic clobbered the travel industry.
“It turns out I was wrong,” he said of his acquisitions of 10 per cent stakes in American Airlines, Delta Air Lines, Southwest Airlines and United Airlines.
Berkshire Hathaway had paid US$7 billion to US$8 billion, and “we did not take out anything like that,” he said.
Between the purchases that took place over months, and the sale, “the airlines business I think changed in a very major way” and could no longer meet Berkshire criteria for profitability, he said.
Buffett’s announcement may further hurt airlines already pushed to the brink by coronavirus lockdown measures, now looking to the US government for US$25 billion in relief funds.
Berkshire Hathaway, based in Omaha, Nebraska, called its first-quarter setback “temporary” but said it could not reliably predict when its many businesses would return to normal or when consumers would resume their former buying habits.
Warren Buffett (left) and vice-chairman Charlie Munger at the annual Berkshire shareholder shopping day in Omaha, Nebraska in 2019. Photo: Reuters
“We’ve faced great problems in the past, haven’t faced this exact problem – in fact we haven’t really faced anything that quite resembles this problem,” Buffett said in a lengthy speech on the country’s economic history.
“But we faced tougher problems, and the American miracles, American magic has always prevailed and it will do so again.”
“We are now a better country, as well as an incredibly more wealthy country, than we were in 1789 … We got a long ways to go but we moved in the right direction,” he said, referencing the abolition of slavery and women’s suffrage.
Warren Buffett has traded his old flip phone for Apple’s iPhone
25 Feb 2020
“Never bet against America.”
Buffett is considered one of the savviest investors anywhere. His fortune of US$72 billion is the fourth-largest in the world, according to Forbes, and in normal years, the company’s annual gathering in Omaha is a high-point of the calendar for investors, a “Woodstock for capitalists”.
But the devastating economic impact of the pandemic has hit hard at Berkshire Hathaway’s wide range of investments, and the need for social distancing forced it to hold the annual meeting online.
Buffett addressed his shareholders in a live-stream flanked only by Gregory Abel, who is in charge of Berkshire’s non-insurance operations.
His business partner for six decades, 96-year-old Charlie Munger, did not appear.
China’s first-quarter GDP shrinks for the first time since 1976 as coronavirus cripples economy
Buffett, in a statement, played down his company’s bleak-looking net figure. He said a better measure of the company’s performance was its operating earnings, which exclude investments and are less subject to sharp fluctuations.
By that measure, Berkshire Hathaway saw growth to US$5.9 billion from US$5.55 billion a year earlier.
The brutal drop in the net – to a loss of US$49.75 billion from a profit last year of US$21.7 billion – resulted primarily from the virus-related decline in value of its broad investment portfolio, which ranges from energy to transport to insurance and technology.
Chinese cryptocurrency billionaire finally sits down to eat with Warren Buffett
7 Feb 2020
The annual meeting often has an almost carnival atmosphere, as thousands of fans and investors flock to Nebraska to hear from the celebrated “Oracle of Omaha”. Buffett, famous for his relatively modest lifestyle, turns 90 on August 30.
In documents filed Saturday, Berkshire noted that until mid-March many of its companies were posting “comparative revenue and earnings increases” over the same 2019 period.
Many of its companies – including in rail transport, energy production and some manufacturing and service businesses – are deemed essential and are able to continue working amid the far-reaching confinement orders.
But their turnover slowed considerably in April, the company statement said.
Moves taken by those companies such as employee furloughs, salary cuts and reductions, and capital spending reductions are “necessary actions” and “temporary,” it said.
Image copyright ANIImage caption Millions of people across India have been stranded by the lockdown
The first train carrying migrant workers stranded by a nationwide lockdown in India has left the southern state of Telangana.
The 24-coach train, carrying 1,200 passengers, is travelling non-stop to eastern Jharkhand state.
Earlier this week, India said millions of people stranded by the lockdown can return to their home states.
The country has been in lockdown to curb the spread of coronavirus since 24 March.
However, the movement of people will be only possible through state government facilitation, which means people cannot attempt to cross state borders on their own.
This train is a “one-off special train” to transport the workers on the request of the Telangana state government, Rakesh Ch, the chief public relations officer of South-Central Railways, told the BBC.
The train left Lingampally, a suburb of the southern city of Hyderabad, early on Friday and is expected to reach Hatia in Jharkhand on Saturday.
Mr Rakesh said that adequate social distancing precautions had been taken and food was being served to the passengers.
Image copyright ANIImage caption Railways officials said that adequate social distancing precautions had been taken and food was being served to the passengers.
He said each carriage was carrying 54 passengers instead of its 72-seat capacity.
“The middle berth is not being used in the sleeper coaches and only two people are sitting in the general coaches,” Mr Rakesh said.
Before the train pulled out of the station, all the passengers were screened for fever and other symptoms.
They had all been employed at a construction site at the Indian Institute of Technology, a top engineering school, in Hyderabad city.
The workers had earlier protested at the site against the non-payment of wages by their contractor.
Senior official M Hanumantha Rao said the contractor was asked to pay their salaries and arrangement made to send them back home.
The journey was organised at “very short notice”, senior police official S Chandra Shekar Reddy told BBC Telugu.
“We screened them at the labour camp itself and transported them to the railway station in buses,” he said.
India’s migrant workers are the backbone of the big city economy, constructing houses, cooking food, serving in eateries, delivering takeaways, cutting hair in salons, making automobiles, plumbing toilets and delivering newspapers, among other things.
Image copyright ANIImage caption Before the train pulled out of the station, all the passengers were screened for fever and other symptoms.
Most of the country’s estimated 100 million migrant workers live in squalid conditions.
When industries shut down overnight, many of them feared they would starve.
For days, they walked – sometimes hundreds of kilometres – to reach their villages because bus and train services were shut down overnight. Several died trying to make the journey.
Some state governments tried to facilitate buses, but these were quickly overrun. Thousands of others have been placed in quarantine centres and relief camps.
SYDNEY (Reuters) – The Australian government said on Friday it would meet a week ahead of schedule to decide whether to ease social distancing restrictions, as the numbers of new coronavirus infections dwindle and pressure mounts for business and schools to reopen.
Australia has reported about 6,700 cases of the new coronavirus and 93 deaths, well below the levels reported in the United States and Europe. Growth in new infections has slowed to less 0.5% a day, compared to 25% a month ago.
Prime Minister Scott Morrison said it was imperative to lift social distancing restrictions as early as possible as 1.5 million people were now on unemployment benefits and the government forecast the unemployment rate to top 10% within months.
“We need to restart our economy, we need to restart our society. We can’t keep Australia under the doona,” Morrison said, using an Australian word for quilt.
Morrison’s government has pledged spending of more than 10% of GDP to boost the economy but the central bank still warns the country is heading for its worst contraction since the 1930s.
With less than 20 new coronavirus cases discovered each day, Morrison said state and territory lawmakers would meet on May 8 – a week earlier than expected – to determine whether to lift restrictions.
“Australians deserve an early mark for the work that they have done,” Morrison told reporters in Canberra.
Australia attributes its success in slowing the spread of COVID-19 to social distancing restrictions imposed in April, including the forced closures of pubs, restaurants and limiting the size of indoor and outdoor gatherings.
Morrison said 3.5 million people had downloaded an app on their smartphones designed to help medics trace people potentially exposed to the virus, though the government is hoping for about 40% of the country’s 25.7 million population to sign up to ensure it is effective.
Cabinet will also decide next week how to restart sport across the country, the prime minister said.
The government says any resumption of sport should not compromise the public health, and recommends a staggered start beginning with small groups that play non-contact contact sport outdoors.
The recommendations suggests Australia’s National Rugby League (NRL) competition may not get permission to restart its competition as soon as many in the sports-mad country would like.
BEIJING (Reuters) – China’s factory activity likely rose for a second straight month in April as more businesses re-opened from strict lockdowns implemented to contain the coronavirus outbreak, which has now paralysed the global economy.
The official manufacturing Purchasing Manager’s Index (PMI), due for release on Thursday, is forecast to fall to 51 in April, from 52 in March, according to the median forecast of 32 economists polled by Reuters. A reading above the 50-point mark indicates an expansion in activity.
While the forecast PMI would show a slight moderation in China’s factory activity growth, it would be a stark contrast to recent PMIs in other economies, which plummeted to previously unimaginable lows.
That global slump, caused by heavy government-ordered lockdowns, as well as the cautious resumption of business in China, suggests any recovery in the world’s second-largest economy is likely to be some way off.
“The recovery so far has been led by a bounce-back in production, however, the growth bottleneck has decisively shifted to the demand side, as global growth has weakened and consumption recovery has lagged amid continued social distancing,” Morgan Stanley said in a note.
“The expected slump in external demand has likely capped further recovery in industrial production.”
The latest official data showed 84% of mid-sized and small business had reopened as of April 15, compared with 71.7% on March 24.
Hobbled by the coronavirus, China’s economy shrank 6.8% in the first quarter from a year earlier, the first contraction since current quarterly records began.
That has left Chinese manufacturers with reduced export orders and a logistics logjam, as many exporters grapple with rising inventory, high costs and falling profits. Some have let workers go as part of the cost-cutting efforts.
A China-based brokerage Zhongtai Securities estimated that the country’s real unemployment rate, measured using international standards, could exceed 20%, equal to more than 70 million job losses and much higher than March’s official reading of 5.9%.
Sheng Laiyun, deputy head at the statistics bureau, said on Sunday migrant workers and college graduates are facing increasing pressures to secure jobs, while official jobless surveys show nearly 20% of employed workers not working in March.
Chinese authorities have rolled out more support to revive the economy. The People’s Bank of China earlier in April cut the amount of cash banks must hold as reserves and reduced the interest rate on lenders’ excess reserves.
Pupils given headwear modelled on a style worn by officials a thousand years ago to reinforce the message that they must stay a metre away from each other
One legend says the hats were given long extensions to stop courtiers whispering among themselves when meeting the emperor
Hats with long extensions were worn by officials during the Song dynasty. Photo: Handout
An ancient Chinese hat has joined face masks and hand sanitisers as one of the weapons in the fight against Covid-19.
A primary school in Hangzhou in the east of the country took inspiration from the headgear worn by officials in the Song dynasty, which ruled China between 960 and 1279, to reinforce lessons on social distancing.
Pupils at the school wore their own handmade versions of the hats, which have long extensions, or wings, to keep them at least a metre (3ft) apart when they returned to school on Monday, state news agency Xinhua reported.
One legend says that the first Song emperor ordered his ministers to wear hats with two long wings on the sides so that they could not chitchat in court assemblies without being overheard, according to Tsui Lik-hang, a historian at City University of Hong Kong.
Pupils at a school in Hangzhou made their own versions of the hats. Photo: Weibo
However, he warned that this story came from a much later source, adding: “The Song emperors, in fact, were also depicted to have worn this kind of headwear with wing-like flaps.”
The World Health Organisation recommends that people stay at least a metre apart to curb the spread of the coronavirus that causes Covid-19.
Coronavirus droplets may travel further than personal distancing guidelines, study finds
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“If you are too close, you can breathe in the droplets, including the Covid-19 virus if the person coughing has the disease,” the global health body advises.
An early childhood education specialist said the hats were a good way to explain the concept of social distancing to young children, who find it difficult to understand abstract concepts.
The pupil’s head gear is designed to drive home the social distancing message. Photo: Weibo
“As children can see and feel these hats, and when the ‘wings’ hit one another, they may be more able to understand the expectations and remember to keep their physical distance,” said Ian Lam Chun-bun, associate head of the department of early childhood
Using pictures of footprints to indicate the right distance to keep when queuing, standing, and even talking to schoolmates was also helpful, said Lam, who recommended visual aids and aids that stimulate other senses, such as hearing and touch.
“We can use sharp colours or special textures, like tactile paving,” he added.
CHINDIA ALERT: You'll be living in their world, very soon 
Coronavirus: Chinese workers in Vietnam cry foul after being fired by Taiwanese firm making shoes for Nike, Adidas
A group of 150 Chinese workers believe the world’s largest maker of trainers used the coronavirus as an excuse to fire them, having helped Taiwanese firm Pou Chen successfully expand its production into Vietnam for more than a decade.
Pou Chen, which makes footwear for the likes of Nike and Adidas, informed the group in late April that they would no longer be needed as they were unable to return to
from their hometowns in China due to the coronavirus lockdowns.
“We 150 employees were the first batch of Chinese employees to be laid off this year. We are all pessimistic and expect more will be cut,” added Zhang.
In its email on April 27, Pou Chen said it was forced to terminate the contracts of the Chinese employees across five of its factories due to an unprecedented decline in orders and financial losses.
The Chinese employees, many of whom have been working for the shoemaker for decades, said the compensation offered was unfair and below the levels required by labour law in both Vietnam and China.
“[The dismissals were] in accordance with the relevant labour laws of the country of employment … and employee labour contracts,” added the statement from Pou Chen, which employs around 350,000 people worldwide.
Company data showed Pou Chen’s first quarter revenues tumbled 22.4 per cent year-on-year to NT$59.46 billion (US$1.99 billion), the weakest in six years.
With the likes of Nike and Adidas closing retail stores around the world to comply with social distancing requirements, analysts also said orders plummeted 50 per cent in the second quarter, although the company declined to comment on the media reports.
Andy Zeng, who had worked for the firm since 1995, said the group were “very upset” when they received the news last month as the impact of the coronavirus pandemic began to reverberate around the world, disrupting global value chains.
“Most of us joined Pou Chen in the 1990s when we were in our late teens or early 20s, when the Taiwan-invested company started investing and setting up factories in mainland China. Now more than two decades have passed,” he said.
Zeng was among the first generation of skilled workers in China as Pou Chen developed rapidly, enjoying the benefits of cheap labour, although the workers themselves were rewarded with regular pay rises.
The company needed a group of skilled Chinese workers to go to its new factories in Vietnam. I said yes because I thought it was a good opportunity to see the outside world – Andy Zeng
What our Chinese employees have done in Vietnam for more than a decade can be said to be very simple but very difficult – Dave Zhang
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