Covid-19 outbreak hurts German businesses in Vietnam

Up to 76% of German companies have confirmed that the Covid-19 (nCoV) epidemic effected their activities in Vietnam since the coronavirus broke out in December 2019, a survey by the German Industry and Commerce in Vietnam (GIC/AHK Vietnam) has shown.

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“The coronavirus epidemic is spreading further in China and we are aware that it's not just the Chinese economy that is suffering from the spread of the coronavirus. Less consumption, idle factories, broken global supply chains,” the AHK Vietnam said in a statement on Wednesday.

The flash survey conducted by the AHK Vietnam on February 10 aims to analyze the extent of economic consequences for German businesses in Vietnam. The results were based on the feedback of 84 German companies and investors in Vietnam from different branches.  

According to the findings, 55% of the companies have already their own measures and prepared well regarding the increasing risk of coronavirus infections. 47% of them have already banned travels to China while 38% have restricted business travels to that country.

In addition, 38% of the German companies have drafted bans regarding incoming visitors from China. 41% of them have restricted to receive other foreign visitors who traveled to China recently. For other foreign visitors, German companies still welcome their visits (52%). Meanwhile, 38% of German companies have restricted travels to other foreign countries affected by the virus.

Commenting on the effect of all measures taken by the Vietnamese government to restrict the virus in Vietnam, 44% of German companies thought they are timely and represent their interests. 36% of them confirmed that those measures supported them to some extent.

Moreover, German companies in Vietnam expect to receive updated information, facts and figures on the effects of coronavirus on the Vietnamese economy. Many of them express their expectation that the epidemic would be controlled promptly in Vietnam.