Stock Groups

German trade body warns of huge supply chain disruption over Omicron -Breaking

[ad_1]

© Reuters. FILEPHOTO: Containers loaded on a container ship at the Hamburg shipping terminal, Germany, September 18, 2014. Picture taken September 18, 2014. REUTERS/Fabian Bimmer

BERLIN, (Reuters) – Germany’s BGA trade organization warned Wednesday that massive disruptions in supply chains could result from the spread of Omicron variants of the coronarvirus. But they said it was unlikely for supply chains to collapse long term.

German Industry has suffered from shortages of microchips. However, rising numbers of coronavirus cases have clouded the outlook for retail at the beginning of 2022.

Funke reported that Dirk Jandura from the BGA stated, “There’s no chance of collapse. But there’s a significant disruption to the supply chain — at least temporarily.”

While many wholesalers across the globe have made their supply chain more flexible, disruptions of global delivery networks could still happen, he stated.

Jandura stated that “you cannot fully protect yourself against a worldwide pandemic,” and called for support from the government through lower electricity and energy prices, and other forms.

According to the Robert Koch Institute for Infectious Disease (RKI), Omicron is now responsible for over 44% of Germany’s coronavirus cases. Germany had 45,690 reported cases of coronavirus infections on Tuesday. This is 49.5% less than last week.

The German government tightened the regulations for bar and restaurant visits to reduce the risk of a disruption to critical services.

Germany’s Chamber of Commerce (DIHK), welcomed new isolation regulations, but expressed concern about the growing number of infected workers in logistics, already facing staff shortages. It also warned of potential consequences for the food retail and medical sectors.

Disclaimer: Fusion MediaWe remind you that this site does not contain accurate or real-time data. CFDs include stocks, indexes and futures. Prices are provided not by the exchanges. Market makers provide them. Therefore, prices can be inaccurate and differ from actual market prices. These prices should not be used for trading. Fusion Media does not accept any liability for trade losses that you may incur due to the use of these data.

Fusion MediaFusion Media or any other person involved in the website will not be held responsible for any loss or damage resulting from reliance on this information, including charts, buy/sell signals, and data. You should be aware of all the potential risks and expenses associated with trading in the financial market. It is among the most dangerous investment types.

[ad_2]