China may have ‘passed the point of no return’ as Covid infections soar

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China may have ‘passed the point of no return’ as Covid infections soar

In the last few days, the mainland China daily Covid case count has climbed to around or more than 28,000 — near levels seen in April during a stringent lockdown in Shanghai, according to CNBC calculations of Wind Information data.
“China might have already passed the point of no return, as it’s unlikely to achieve zero Covid again without another Shanghai-style hard lockdown,” Macquarie’s Chief China Economist Larry Hu said in a report Tuesday.
In GDP terms, nearly 20% of China’s economy was negatively affected by Covid controls as of Monday, close to the high of 21.2% recorded in mid-April during Shanghai’s lockdown, Nomura’s Chief China Economist Ting Lu said, citing the firm’s model.

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