China closes the world’s largest electronics market

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The southern Chinese city of Shenzhen closed the world’s largest electronics market on Monday and suspended public transport nearby as authorities enforced a district-wide lockdown in response to a small number of new Covid-19 cases.

Huaqiangbei, a busy shopping area home to thousands of stalls selling computer components, mobile phone parts and microchips, is among three neighborhoods placed under a four-day mandatory lockdown in Futian County, according to the county government.

Residents in those neighborhoods are banned from leaving their homes, except for testing for Covid-19, which they must do every day until Thursday.

As a result, all businesses in the affected areas are closed until Thursday, with the exception of supermarkets, pharmacies and hospitals. Dining in the restaurant is also suspended, with only “takeaway” allowed.

China is one of the last countries in the world still implementing strict zero-Covid measures, which rely on comprehensive digital surveillance, mass testing, extensive quarantines and immediate lockdowns.

On Tuesday, Shenzhen, an international technology hub of 18 million people, reported just 35 infections, including 11 asymptomatic cases.

But the tough approach has seen dozens of neighborhoods across Shenzhen identified as “high-risk areas” and placed under strict lockdown orders.

At a press conference on Monday, Shenzhen officials said the outbreak was largely fueled by the new Omicron BF.15 subvariant, which they said is more transmissible and harder to detect.

China’s zero-Covid strategy has faced increasing challenges from the highly infectious Omicron variant, with large areas of the country subject to ongoing lockdowns and daily testing.

Endless restrictions have hit daily life and dealt a heavy blow to the slowing economy. In July, youth unemployment in China hit a record high, with one in five young people out of work.