BEIJING -- The Chinese port city of Tianjin, one of the world's busiest transfer points for cargo, began a new round of testing of 14 million residents on Wednesday to contain the Omicron variant, as analysts warned of the growing economic costs to China of curbs to extinguish clusters of coronavirus infections.
Volkswagen Group, the largest foreign automaker in China, has shut a plant it jointly runs with FAW Group in the city, as well as a components factory, due to recent COVID-19 cases there.
"Due to the recent COVID-19 outbreaks both the FAW-VW vehicle plant and VW Automatic Transmission Tianjin component factory have been shut down since Monday," a spokesperson told Reuters.
"Both plants have conducted COVID -19 testing twice for all employees this week and are waiting for the results. We hope to resume production very soon and catch up with lost production. The top priority remains the health and well-being of our employees."
Toyota Motor Corp. said operations at its joint-venture in Tianjin, which has annual production capacity of 620,000 vehicles, had been halted since Monday due to the impact on suppliers of mandatory COVID-19 testing of city residents.
"We plan to resume operations as soon as the government's instructions and the safety and security of the local community and suppliers are confirmed and assured," Toyota said in a statement.