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Slovenian companies in China resuming work after lockdown

Zreče/Tržič/Železniki/Novo Mesto/Naklo, 19 March (STA) - Slovenian companies operating in China are gradually returning back to pre-coronavirus levels although production is not yet going ahead at full steam. Demand is strengthening, but dire conditions in Europe and elsewhere are resulting in supply disruption and are bound to have a detrimental impact on China's economy.

The situation has been brought under control, Unior, which forges car parts in China at a plant employing 460 workers, has said, adding that preventive measures are still in place at the factory.

The Cablex group, owning a subsidiary with a 400-strong workforce in China, agreed with this appraisal of the situation saying that after restarting production in mid-February, output is now approaching the planned capacity. Increased demand has even resulted in a situation that calls for double shifts.

Pharma company Krka, which co-owns a subsidiary in China, also reported that the situation is returning to pre-coronavirus levels. "Production is not disrupted since the company ensured increased purchase of raw materials at the end of last year and the beginning of this year," said Krka, adding that demand was not an issue.

All the companies reported that their employees were doing fine, some of them returning back to work after being under quarantine.

The companies however expressed concern over a potential recession in other parts of the world and supply disruption caused by the coronavirus hotspots in Europe, including the impact of air traffic restrictions and border shutdowns.

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