As reported by Bloomberg BNA:
Factory operations suspended under sweeping environmental inspections are affecting supply chains in China ranging from chemicals to electronics to textiles, creating a crunch at its ports and uncertain timelines for deliveries, sources told Bloomberg BNA.
“Tens of thousands” of factories have been affected in and near the major urban centers, with impacts ranging from “complete factory shutdowns [to] temporary closures” with unknown timeframes for resolution, Gary Huang, who sources products in China for Amazon.com sellers and is head of the supply chain committee at American Chamber of Commerce in Shanghai, told Bloomberg BNA.
Inspection campaigns are permeating “the various links of the supply chain including component suppliers, forcing companies to modify their products or remove certain components from their production,” Huang said.
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