Shanghai, Dec. 13 (BNA) More than a dozen listed companies in China said they have halted production in the affected parts of the Corona virus in east China’s Zhejiang Province in response to the tightened local government restrictions on COVID-19, causing their share prices to fall.
On Monday, official figures reported that Zhejiang Province reported a total of 173 locally transmitted cases with confirmed symptoms during the period from December 6 to 12, marking the first local cluster outbreak in the province this year.
In October, the county reported only one local case.
A large number of companies, including Ningbo Homelink Eco-Itech Co Ltd, Zhejiang Zhongxin Fluoride Materials Co Ltd, Zhejiang Jingsheng Mechanical & Electrical Co Ltd and Zhejiang Fenglong Electric Co Ltd, announced the suspension of production through exchange filings over the weekend.
Their shares fell sharply in early trading on Monday. Zhejiang Chunhui Intelligent Control Co Ltd and Zhejiang Yankon Group Co suffered the biggest losses, as their shares fell more than 7% each.
China reported 80 new symptomatic locally transmitted cases on the mainland on December 12, including 74 identified in Zhejiang Province.
Ningbo Homelink, which makes plastic products, said in a stock exchange statement late Sunday that it has halted production in its home city of Ningbo at the request of local authorities, and is taking measures to reduce the negative impact on its business.
Zhejiang Jindun Fans Co., a Chinese manufacturer of ventilation system equipment, said on Sunday that production at its branch in Shaoxing City, Zhejiang Province, has been suspended due to local government anti-virus measures.
The company said there will be some delays in product deliveries and business hits this month, but that the repercussions for this year’s annual results will be limited.
All the companies that announced the halt in production pledged full cooperation with the local government, which will decide when production can resume.
MI