Covid cases in China resurges to 2020-level, local communities lock down

China is currently battling the highest number of daily covid infections since the beginning of the pandemic two years ago.

Back in January, we said in a piece (How omicron could dramatically change commodity demand in China) that “China is now entering a new stage of the pandemic, and the omicron variant poses a serious threat to China’s ability to maintain its zero-Covid policy” and explained the effects this was going to have on agriculture commodity markets.

Given the rapidly changing situation, here are some on-the-ground perspectives of what we are seeing in China.

Darin Update:

We started working from home at the beginning of the month. The area where our office is located is shut down last week and everyone in that area had to undergo mass testing.

My apartment complex shut down for mass testing last Sunday and this Monday. The initial notice was that the lockdown would last 48 hours, but as of Wednesday afternoon, we are still stuck inside.

It is easy to order restaurant takeout, and grocery deliveries. Our apartment complex has tables set up by the gate and there are staffs who organize the deliveries.

The current situation seems unlikely to change soon. Several local friends have been told that their complexes will start 48-hour lockdown and mass testing on Friday.

Some things are showing signs of strain. Previously, many grocery delivery services would offer delivery in 45-60 minutes. Currently, some are closed, and others only have delivery slots for 6-8 hours later.

The health app used to report test results has been down for most of the day as the servers were overwhelmed with traffic.

However, there are signs that the policy is changing. At-home tests were recently approved and are being distributed.

Until now, PCR tests were only available from medical providers. People with mild or no symptoms are no longer required to go to the hospital, and observation periods for people who were in the hospital are being reduced.