The planned shutdowns in industrial provinces of Jiangsu, Zhejiang and Guangdong are likely to boost China’s textiles and garments’ prices 30 to 40 per cent in the coming weeks. The shutdowns will range from 40-60 per cent, and continue till December 2021, as the Chinese government plans to curb emissions ahead of the Winter Olympics scheduled for February 4 to 22, 2022, in Beijing.

Another reason for planned power blackouts is the extremely tight supply globally, as the boost in demand after lifting of COVID-19 induced lockdowns is seeing an economic rebound the world over. However, in case of China, there is a short supply of coal from Australia on account of its strained relations with that country.

China is a major supplier of several products, including textiles and apparel, to countries across the world. Hence, the continuing power crisis would result in shortage of those products, disrupting global supply chains. On the domestic front, China’s GDP growth rate may falter to around 6 per cent in the second half of 2021, after growing at over 12 per cent in the first half.

By Fashionating World
https://www.fashionatingworld.com/new1-2/shutdowns-in-industrial-provinces-to-boost-china-s-textile-and-garment-prices