President of the European Chamber of Commerce: The anxiety of closing the city has caused irreversible damage to the mainland economy like never before

President of the European Chamber of Commerce: The anxiety of closing the city has caused irreversible damage to the mainland economy like never before https://whatchinareads.com/article/?uid=dce8aefed5b411ecbee2d79999c4055a

2022-05-17: [Article Link]  Joerg Wuttke, President of the Chinese European Union Chamber of Commerce, who had written a petition for Beijing to set up a dynamic zero-action policy, recently pointed out that the strong anti-epidemic approach was a source of fear for the Chinese system, a sense of risk that exceeded even the six or four events and the Asian financial crisis of 1997, and that he was not hopeful that the mainland would ease the “Zone Policy” after the 20th anniversary of the Chinese Communist Party. According to U.S. media, Voice of America Chinese Network, 16, Wuttuck said that the massive closure of cities in the interior and severe control measures against the epidemic are not only difficult to sustain, but also cause "irreversible damage" to the domestic economy, a long-term damage that "intensifies the Chinese economy". He argues that while state officials are well aware of the damage caused to the Chinese economy by zero, they are worried about the consequences of abandoning zero. He stressed, however, that he fully understood why the mainland government did not want to extend the vaccinations, but that there had to be a buffer, starting with the introduction of the vaccine. But what he saw was that people " lined up for a nucleic acid test, but did not see them lined up for the vaccine." On April 26, Beijing, citizens lined up for a nucleic acid test. Europe didn't evacuate. The economic boost didn't work. In response to the Government’s recent introduction of a number of economic stimulus measures to improve foreign confidence, Wuttek replied “no”, because it is only a toolbox for dealing with a normal economic crisis, inadequate demand or economic recession. He pointed out that Europe had not withdrawn from China, "but what we're thinking about is putting new investment projects elsewhere," so many companies are putting large or ordinary items on hold, which has already had a negative impact. At the same time, Europe’s executives seek investment opportunities in other parts of the world, and the politicians of these other countries “fly to our headquarters, know our companies, let us invest in them”, which was once the strength of the Chinese government. He mentioned that in April, the Treasury service had a PMI index of 36.8, which was newly low since February 2020 (the outbreak just occurred). "36.8" meant that the Mainland service industry was in a state of "deep contraction". He argues that the high level of joblessness in the service sector, which is high, means that many people lose their jobs, and that it means less consumption and less demand. This is not just a short-term impact on the economy, which will cause long-term damage to the Chinese economy. According to Vuttek, China is facing a "confidence crisis" and confidence crisis is "not feasible" by lowering interest rates and deposit readiness. I can't believe it. It's a crisis. Six, four, sars. Vuttek interviewed him in 1982 when he first took a train from Heidelberg, Germany, to China, for 33 years, witnessed the events of 1989, the Asian financial storm of 1997 and the sars of 2003, "but I've never seen the current crisis, the fear of the physical system, the unimaginable anxiety of sealing China's largest and best cities. The war in Russia and Russia has had an impact on corporations in Europe. The war in Ukraine, according to Vuttuk, has affected Chinese businesses. The cost of raw materials has risen, the cost of energy has risen, the logistics chain has been broken, there have been far fewer train runs through Russia than before, and the effect of the war on Chinese companies is that they can no longer do business in Russia because of the sanctions. At the same time, he says that European companies sometimes view China as the next Russian - "We're wrong about Putin." He claims that the banks in the interior and the major businesses in the energy sector are complying with the sanctions and have lost business opportunities in Russia. They need to follow the sanctions because they know they are violating them, and they are in a very bad situation in the United States, like China.