Industry News

It remains to be seen how trade recovers after the gradual "lifting" of embargoes

Add Time:2020-04-30 09:00:00

According to the novel coronavirus pneumonia novel coronavirus pneumonia data released by Johns Hopkins University, as of April 29th, there were more than 3 million 100 thousand cases of new crown pneumonia cases worldwide, and more than 210 thousand cases died.


At present, the epidemic trend in different regions of the world is different.


The epidemic situation in most European countries is stable or declining. But the number of confirmed cases in the United States is still growing at the rate of 30000 a day. In addition, the number of confirmed cases in Africa, Central America and South America has all increased.


Global trade continues to be hit hard by massive shutdowns.


Novel coronavirus pneumonia is forecast to shrink by 13% to 32% in the World Trade Organization this year, and the shrinkage may exceed the level of the international financial crisis in 2008.


In recent months, liner companies have continued to cut capacity on a large scale in order to cope with the decline in cargo volume, reduce operating costs and prevent freight rates from falling sharply.


Sea intelligence, a Danish consultancy, believes that the current scale of capacity reduction in the integrated transport market has reached its peak.


Recent capacity cuts of some routes


Last week, 38% of the capacity on routes from Asia to northern Europe was cut, according to the agency. The route from the Mediterranean to the east coast of North America withdrew 33% of its capacity in the 19th week. On the east coast route from Asia to South America, a staggering 59% of capacity was cut in the 20th week.


Alan Murphy, chief executive of sea intelligence, predicted: "in the next 6-8 weeks, we may see that the demand for export goods exceeds the total capacity of the market, which may help the freight increase."


This kind of judgment may be related to that some European and American countries will "unseal" and "restart" the economy in the near future.


At present, Italy, a heavy disaster area in Europe, has announced that it will enter the second stage of epidemic prevention and control after May 4.


In terms of the resumption of enterprises and the restoration of commercial activities, the Italian government has decided that enterprises that are allowed to resume work from May 4 can carry out preparations for resumption work from April 27. After May 18, commercial retail, museums and exhibitions will be reopened. After June 1, bars, restaurants, barbershops, beauty salons and other business places will be reopened.


British Prime Minister Boris Johnson, who was previously infected with the new crown virus, has officially returned to work on April 27.


Johnson may announce plans to ease the blockade as early as this week, the Telegraph reported. Johnson and cabinet ministers have considered "amending" the ban, but will not lift it completely, the report said.


British Prime Minister Johnson returns to work and delivers a speech


In addition, the current restrictions imposed by France will expire on May 11. In a statement, the French Prime Minister's office said that French Prime Minister Philippe submitted the government's relevant "de closure" plan to parliament on April 28, which will discuss and vote on it.


Germany has announced that it will allow primary and secondary schools to resume classes and barber shops to open from May 4. But German Chancellor Angela Merkel warned that the economic life should be restarted slowly, otherwise even if Germany's health care system is more developed, it may quickly "overload" and collapse.


Spain's prime minister Sanchez said that if the relevant data of the epidemic continues to improve, people will be allowed to go out for exercise alone or for a walk with their fellow residents from May 2, and other specific control plans will be released in the near future.


An ambulance drove by New York Times Square


Finally, look at the United States.


Novel coronavirus pneumonia cases in the United States have exceeded 1 million cases, and nearly 60 thousand cases have been fatal as of 9 April 29th, according to the latest WHO statistics.


However, novel coronavirus pneumonia has been "high tide" announced by President Trump in mid April. At present, the United States has begun to discuss when and how to restart the U.S. economy.


At present, the attitude of the White House is to "let go of power", and the states decide their return time.


Andrew Cuomo, the state governor of New York, a hard hit state, announced that social isolation would be extended until May 15. However, it will gradually resume economic activities in different regions. The first phase is expected to resume construction and manufacturing activities in upper state of New York, where the outbreak is relatively mild. After that, the specific situation will be evaluated and the next action will be decided.


Other parts of the United States, including Alaska, Georgia, South Carolina, Tennessee and Texas, have also begun to allow restaurants and other places to open.


The governor of Texas announced that he would sign an executive order that would allow the state to lift the "home order" restrictions on April 30 and "restart" the economy in stages. The first phase of the plan begins on May 1, when all restaurants, retail stores, cinemas and shopping malls in the state will be operational.


Countries have gradually "unsealed" in stages, which is conducive to the recovery of trade as soon as possible, stimulating the increase of goods volume and freight.


But at present, the global epidemic is not over, and the development trend is not clear. There are concerns that novel coronavirus pneumonia cases will increase as the economy is reopened too early, and the difficulty of preventing and controlling the epidemic will be intensified.


I'm afraid that we need to continue to observe the effect of the "unsealing" in succession.


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