Shanghai's strict lockdown could have 'massive global effects' on supply chains
"We're really seeing the shipment delays at major ports like Hamburg and Rotterdam rise," he told Sky News."We're looking at 10-12 day delays coming into major European ports.""We already saw prices coming out of China increasing. The cost of production is going up, the cost of goods sold in China is already going up, so inflation is already on the rise, and these kinds of delays in manufactured outputs is not going to help that.
European manufacturing businesses in the Shanghai region are struggling, both with the lockdown and with supply chain delays, according to Bettina Schoen-Behanzin, vice president of the European Union Chamber of Commerce in Shanghai."In the long run, it really will have quite an impact on the world economy and inflation definitely will go up," she told Sky News.
"If down-south goes offline - Guangzhou, Shenzhen, if Shanghai continues to stay offline, if another area goes offline - then you will start to see massive global effects in the supply chain. And they won't be easily resolved," Mr Johnson said.
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