Covid-19 outbreak in Vietnam’s industrial provinces to disrupt supply chains?

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The latest Covid-19 outbreak has taken place in a tech hub in the northern industrial provinces of Vietnam, threatening operations in the tech giants like: Apple, Samsung and other major firms.

The current outbreak involves a strain of the virus that causes it to spread more rapidly. More than 3,000 people have been infected in 30 of its 63 cities and provinces since late April. The capital Hanoi, and the southern business hub of Ho Chi Minh City, have shut restaurants and banned public gatherings and  factories are now operating below capacity.

Some companies have placed their workforce on two different rosters, in an attempt to minimize supply chain disruption and continue operations, despite the threat of the rapidly spreading virus. 

The government has issued clear instructions to provinces such as Bac Ninh –where some of Samsung’s main operations are located–and Bac Giang, to stay on guard and take all necessary precautions to ensure health safety.While Vietnam accounts for half of Samsung’s global phone and tablet production, LG, Foxconn and Luxshare too have operations or supply chain companies in this area.

Thus far, reports show that around 1.04 million people in Vietnam have had one dose of COVID-19 vaccine, but just 28,529 have been fully vaccinated.

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