The coronavirus COVID-19 outbreak and ensuing government restrictions raise corporate governance concerns and create areas of risk across the ESG spectrum that should be considered by companies and their directors and officers.

In October 2019, Dr. Janet Woodcock, the director of the FDA’s Center for Drug Evaluation and Research, testified before Congress that the United States “has become a world leader in drug discovery and development, but is no longer in the forefront of drug manufacturing.” 72% of API manufacturing takes place outside the U.S., and the use of foreign-sourced materials “creates vulnerabilities in the U.S. supply chain,” Woodcock concluded.

“The ripple effect coming from one region in China is completely unprecedented,” Kamal said. “We’ve never seen anything like this”

Australia’s rooftop solar market is being warned to brace for a months-long impact from the devastating coronavirus outbreak in China, as disrupted panel production and supply takes its toll on the local market.

Similarly, some businesses are partaking in voluntary closures and have implemented travel bans (not only in and out of China but more generally) for their employees. These restrictive measures have resulted in affected parties considering whether coronavirus, as a global health emergency, could be considered a force majeure event so as to delay or absolve a contracting party of its contractual obligations.

Here are the highlights: As deaths approach 500, no sign of a slowdown. A second evacuation of Americans from China has begun. Britain and France urged their citizens to leave China. Hyundai suspended production at South Korea car factories. The oil industry is already in the doldrums.

The novel coronavirus 2019-nCoV continues to spread throughout China and other countries, seriously impacting business operations around the world. As governments and companies act to protect their citizens, operations and employees at home and abroad, these actions threaten to produce business interruptions, travel risks and other effects that could be detrimental to business continuity.

Outbreaks of novel virus infections among people are always of public health concern. The risk from these outbreaks depends on characteristics of the virus, including whether and how well it spreads between people, the severity of resulting illness, and the medical or other measures available to control the impact of the virus (for example, vaccine or treatment medications).

The Wuhan coronavirus has sickened more than 14,500 people in Asia, according to statements from health officials. Many other cases are suspected but not confirmed. As of Sunday afternoon, at least 305 people have died, all but one in China.

Australia will deny entry to all travellers from mainland China unless they’re Australian citizens, amid growing fear surrounding the deadly coronavirus, Prime Minister Scott Morrison has announced. While citizens, permanent residents and their immediate family, legal guardians and spouses will be excepted from the strict measures, Mr Morrison said anyone arriving from China will be required to self-isolate, as part of the stricter border approach.