Covid Outbreak in China’s Xi’an Hurts Tourism, But Production Mostly Carries On
Zhang Yushuo
DATE:  Dec 24 2021
/ SOURCE:  Yicai
Covid Outbreak in China’s Xi’an Hurts Tourism, But Production Mostly Carries On Covid Outbreak in China’s Xi’an Hurts Tourism, But Production Mostly Carries On

(Yicai Global) Dec. 24 -- A new wave of the novel coronavirus in the city of Xi’an, home of the Terracotta Warriors, is having a big impact on tourism, but is affecting manufacturers differently.

The capital of northwestern Shaanxi province reported 255 Covid-19 cases between Dec. 9 and Dec. 23. The city’s airport cancelled all domestic flights yesterday.

The outbreak will greatly affect our travel and hospitality businesses, Xi’an Tourism said. The firm logged losses of CNY34 million (USD5.3 million) in the first three quarters, but revenue more than doubled from the same time last year to CNY422 million (USD66.25 million).

Xi’an-based Longi Green Energy Technology has not been impacted by the latest wave, the solar wafer giant said today. It has disinfected its factory and is screening its production line workers.

Production has been disrupted at BYD’s Xi’an plant, the automaker told Yicai Global, adding it is taking action to rectify the situation. Xi’an is home to one of BYD’s biggest factories with an annual output of 500,000 cars and the Shenzhen-based company is currently building a facility for new energy vehicle auto parts in the city.

Western Superconducting Technologies’ production lines are running as normal, the Xi’an headquartered metal alloy maker told Cailian Press. Its titanium and super alloy manufacturing has halted for equipment maintenance and will be back up and running as soon as the wave wanes.

BYD’s share price [SHE:002594] was trading down 3.61 percent at CNY269.89 (USD42) as of 2:30 p.m. China time today, Longi Green [SHA:601012] was trading down 2.84 percent at CNY77.92, Western Superconducting [SHA:688122] dipped 0.84 percent to CNY90.93, while Xi’an Tourism [SHE:000610] nudged up 1.64 percent to CNY8.04.

Editor: Kim Taylor

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Keywords:   Xi’an,Covid-19,tourism,manufacturing