A global electronics slump is driving East Asia to the wall
China’s zero-covid slowdown is only one factor troubling the region’s trade champions
On December 7th China announced it was relaxing yet more of its covid-19 restrictions. The news was well received by the once roaring economies of East Asia. In recent days many have reported terrible trade data that suggest the domestic effects of China’s zero-covid policies have ricocheted across the region. A reopening, however tentative, can only help. But the reasons behind the tigers’ angst extend well beyond woes faced by their big neighbour. As the world spends less on expensive gadgets, the world’s busiest manufacturing hub is being driven to the wall.
This article appeared in the Finance & economics section of the print edition under the headline “The chips hit the fan”
Finance & economics December 10th 2022
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From the December 10th 2022 edition
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