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Importers in China have cut back on orders in advance of the slowdown in manufacturing associated with the New Year celebrations. Chinese New Year, the year of the ox, falls on 12 February this year.

At present, production in factories in Shandong, Jiangsu, Guangdong and Fujian has been suspended. In order to stagger the flow of people traveling workers have returned to their hometown for the holidays ahead of schedule.

The recent intensely cold weather has challenged the power system all over the country. Some factories experienced power failures and in order to manage the power supply the authorities have required factories with non-continuous production lines to close early for the holidays.

The trade press in China has suggested around 30% of the wood processing enterprises have been affected and in some areas only 10% of factories are operating. For example, the local media says wood processing factories in Guigang City, Guangxi Zhuang Autonomous Region shut down from 15 January.

It is expected, however, that the Chinese Government will implement a staggered holiday period to prevent any Covid outbreaks, which may see some production continuing over this period.

The post Wood processing companies in China cut back production as Chinese New Year approaches appeared first on Timber Industry News.