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PBOC deputy governor warns China is facing growing supply chain risk

  • Liu Guiping, deputy governor of the People’s Bank of China, spoke to the Global Asset Management Forum in Beijing on Saturday.
  • Highlighted a number of concerns:

    • Covid-19 has sped up the shift in the global distribution of production … In addition to the influence of geopolitical contests, China’s industrial sectors are facing double pressure – industries moving into Southeast Asia and back to developed countries
    • Chip shortages and supply chain stoppages threaten supply chain security and competitiveness
    • increasingly unpredictable course of the Covid-19 pandemic
    • rising inflation and tightening monetary policies
    • growing anti-globalisation and nationalist sentiment that could have an impact on international trade

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