Vietnam has shut down factories and imposed strict new measures to fight a rising wave of Covid-19 after emerging largely unscathed from the first 14 months of the pandemic
A gap has formed between the demand for goods in the well vaccinated U.S. and the capacity of sparsely vaccinated manufacturing countries to meet it, building inflationary pressure. Theadd to a long list of challenges—including outbreaks at ports, freight-container shortages and rising raw-material prices—that companies face in delivering goods at low cost and on time ahead of the holiday season.
Vietnam, which has given two vaccine doses to less than 3% of its population, has seen a surge in cases over the past six weeks. The country’s strict Covid-19 containment policies—including locking down villages and quarantining tens of thousands of people in military barracks and other state-run centers—worked for the first 14 months of the pandemic, as it pumped out exercise equipment, electronics and pajamas for Western consumers.
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