SHENZHEN: European businesses in China are increasingly looking to shift their investments to other markets due to the country's strict Covid-19 containment measures and supply chain disruptions, the European Chamber of Commerce in China said on Thursday.
A member survey found that almost a quarter of respondents were considering moving current or planned investments out of China, more than double the number at the start of the year.
"Our members are weathering the storm for now, but if the current situation continues, they will increasingly evaluate alternatives to China," said the chamber's president, Jorg Wuttke.
Lockdown measures have disrupted supply chains, with 92% of respondents saying they had been negatively impacted by recent port closures, decreased road freight and rising sea freight costs.
As of Tuesday, 43 cities are under full or partial lockdowns or have implemented district-based controls, which involve strict mobility restrictions for local residents, according to Nomura, a global financial services group.
An employee prepares takeout food outside a restaurant after the government banned dining at restaurants to curb the spread of the Covid-19 coronavirus in Beijing on Thursday. (Photo: AFP)