By Zhang Chun, Zhu Meili & Qiu Yue, Research Team on “Countermeasures to COVID-19 Pandemic”, China Development Research Foundation

Research Report, No. 65, 2020 (Total 5809) 2020-3-30

Abstract: According to the interview survey on a number of transnational manufacturing enterprises from Feb. 26 to Mar. 8, although most of the enterprises are on track to work resumption, the production capacity is still hard to be raised effectively due to their varying degrees of work resumption and the sluggish sales market. The difficulties of labor force to return to their work places and the obstructed storage and logistics not only constrains the production capacity restoration of big enterprises, but also makes it hard for industrial chain to resume its effective operation. The phenomenon has been caused by the following reasons: lack of governance consciousness and capacity in some places hampered the effective implementation of targeted pandemic control and prevention; different local policy systems on work resumption disrupted the natural connectivity between the upstream and downstream industrial chain; labor flow is faced with multiple obstacles; the differences in policies of various regions has added the difficulty of logistics restoration. This paper has offered some policy options as follows. First, the improvement and upgrading of the social control and prevention pattern to a practical and targeted one needs to be accelerated to leave more trial space for grass-root operation. Second, a coordinated work resumption mechanism between the up- and downstream sectors needs to be established so as to activate the industrial chain in an overall manner. Third, the obstacles that stands in the way of labor flow needs to be removed so as to revitalize labor market. Fourth, work needs to be done to focus on the dilemmas of enterprises with the aim to help them overcome difficulties. Fifth, the scientific control and prevention mechanism need to be fleshed out so that the pandemic has no way to rebound and as a result, push ahead with the work and production resumption in a targeted and steady manner.

Key words: control and prevention with targeted measures, work and production resumption, industrial chain