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Corona Virus

Sectors that will get disrupted due to Corona Virus would be

  1. Auto - Epicenter of Virus breakout being Wuhan which is considered as Auto capital as all the companies are centered there
  2. Pharma - Virtually all paracetamol , Ibuprofen and many anti-biotics is manufactured here. Even though most of these are in another province which is far off from Wuhan. Saving grace is the fact that indian pharma companies stockup on meds for six months atleast.
  3. Air Conditioners- All AC Compressors are manufactured in China.Even if demand is there when there is no supply , will the price of AC will increase, there by reducing the number of purchase?
  4. Suitcase - Many finished suitcases are imported from China. This has been confirmed by VIP industries themselves. Even if Suitcase manufacturing did start, whether tourism will start in full form given that Corona has spread to Italy, South Korea, Thailand, Singapore and Iran. I wonder how many people will travel for the next six months? Already people are being downsized in Expedia and other travel related companies.
  5. Electronics - All phones are manufactured regardless of whether it is Redmi or iPhone. Similar story with Laptops and other electronic items.
This is an evolving story with more places getting added to caution list as when Corona spreads. But grim future for the next one year for VIP industries.

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