Affected By The International Epidemic, Companies Face The Risk Of Another Production Cut

On April 16, the State Council’s joint defense and joint control mechanism held a press conference on resuming production. Xu Kemin, director of the Department of Industrial Policies and Regulations of the Ministry of Industry and Information Technology, said that as of April 14, the average operating rate of industrial enterprises above designated size in China had reached 99%, and the rate of reinstatement of personnel had reached 94%.
Xu Kemin admitted that the current overseas epidemic situation is spreading rapidly, and some new situations and problems have occurred in the resumption of production in the manufacturing industry. Insufficient demand in the international and domestic markets, rising production costs of enterprises, difficult capital turnover, and poor international logistics have caused resumption of production Of enterprises face the risk of reducing production and stopping production again, and the stability of the industrial chain and supply chain has been affected.