China reopening: Singapore businesses in country hit by Covid surge but remain optimistic

SINGAPORE companies with operations in China said the country’s reopening led to a surge in infections rather than consumer demand, shuttering retail outlets and factory lines alike. But bosses are cautiously optimistic now that the wave has subsided.

Last December, China’s abrupt departure from a zero-Covid approach created a spike in Covid-19 cases. Far from benefiting from the loosened curbs, business owners had to grapple with acute labour shortages.

Furniture retailer Commune, which has four self-operated and 71 franchised retail outlets in China, said some 80 per cent of its China-based workforce was down with the virus in December.