Oxford Economics’ latest Global Outlook report: Global conditions should strengthen in H2 as the disruption fades. But we now project 2020 global growth will slow to just 2.3%, its weakest since 2009.

It really is death by a thousand cuts,” said John Evans, managing director of Tractus Asia, a company that has 20 years’ experience helping firms move to China, but which over the past two has had more enquiries from businesses looking to leave. “This is a black swan event and I don’t think we’ve seen anything like it in recent history, in terms of the economic and supply chain impact in China and across the globe.

Apple makes most iPhones and other products in China. The spread of coronavirus has caused the company to temporarily halt production and close retail stores in China. Some Apple retail stores reopened in China with reduced hours last week.

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.

History of the virus

Chinese travellers account for about a fifth of all tourism spending, more than any other country, according to the U.N.’s World Tourism Organization.

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.

“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.