Trade Risks Worsen as Delta Descends on Southeast Asia Factories

Trade Risks Worsen as Delta Descends on Southeast Asia Factories

The pandemic’s impact on global trade risks worsening in coming weeks as more factories across Southeast Asia brace for closures amid one of the world’s deadliest outbreaks.

Factory shutdowns are accelerating in Vietnam, while Thailand is prepping for outbreaks among its manufacturers and the Philippines tightens restrictions in its economic heartland.

While Southeast Asia weathered the spread of the coronavirus last year relatively well, the delta variant has spread swiftly across a sprawling region that has been slow to vaccinate a population twice that of the U.S. The region’s death toll now has nearly overtaken Latin America as the world’s worst.

The economic impact will be acute for nations like Vietnam and Thailand, where exports were expected to a be a bright spot as richer economies in the west emerged from lockdowns. The disruptions come as shipments and orders would traditionally ramp up to meet demand for the Christmas shopping season.

The pandemic’s impact on global trade risks worsening in coming weeks as more factories across Southeast Asia brace for closures amid one of the world’s deadliest outbreaks.

Factory shutdowns are accelerating in Vietnam, while Thailand is prepping for outbreaks among its manufacturers and the Philippines tightens restrictions in its economic heartland.

While Southeast Asia weathered the spread of the coronavirus last year relatively well, the delta variant has spread swiftly across a sprawling region that has been slow to vaccinate a population twice that of the U.S. The region’s death toll now has nearly overtaken Latin America as the world’s worst.

The economic impact will be acute for nations like Vietnam and Thailand, where exports were expected to a be a bright spot as richer economies in the west emerged from lockdowns. The disruptions come as shipments and orders would traditionally ramp up to meet demand for the Christmas shopping season.