Following drastic measures by Chinese authorities, production in China is now back to normal. All our cooperating factories have full production and orders placed the last 2-3 weeks and are to be completed with normal lead time.
Two weeks total Chinese shut-down
Due to the virus outbreak, China decided to make a two week shut-down right after the Chinese New Year celebration. Most workers had traveled to their hometown to celebrate the New Year with the family, but many of them could not return when the holiday was over. Factories all over China, even in areas far away from the infected areas, had to stay closed for 2 weeks. This resulted in a general delay of 2-3 weeks on all our production.
Fortunately, our customers have been understanding and supportive. We have worked hard to ensure that our orders got the highest priority. For urgent orders, we have arranged partial deliveries. Thereby we have avoided any major problems in this situation.
8 weeks isolation of Hubei province
Although most of China could open up on the isolation after two weeks, people in Hubei province had to remain isolated for another 6 weeks. One of NewTracks engineers, who had traveled home to his family in Hubei for Chinese New Year celebration, had to stay indoors for 8 weeks to avoid the spread of the virus. Quickly he established an office from home to follow up ongoing orders and make sure our customers did not suffer much in this critical situation.
In cities like Shenzhen, where NewTracks has its China office, the outbreak has been limited, but there have also been severe restrictions, for example, there are limited allowance to go outdoors, everyone must wear masks whenever they go, temperature measurements are frequent and people needs government allowance to go to work. In addition, everyone traveling the Metro has to register which car they are in. With such strong methods, now Shenzhen is back to its full function.
Chinese production back to normal
All our cooperating factories are now back to production, and even more. Everyone is working hard to deliver as quickly as possible and to recover from the backlog that has occurred.
We are experiencing great demand from customers who are wondering if we can deliver, and our reply is: Yes, our production is back to normal.