China's Silicon Valley is shutting down for a week due to Covid-19 restrictions
Shenzhen is China's equivalent of Silicon Valley, housing company headquarters such as those of Tencent and Huawei. However, it's now being placed into lockdown until March 20 due to an outbreak in Covid-19 cases in neighbouring Hong Kong, and a broad swathe of manufacturers in the area are being forced to close their doors during that time.
China has a strict zero-Covid strategy for combating the outbreak of Covid-19 and has been known to place entire regions and cities into lockdown at a moment's notice in response to the ongoing pandemic. The strategy—which is notably different to that adopted by most in Europe and North America—has led to significantly lower reported cases and death rates than other countries, though has caused mass disruption to people and businesses in the country.
Some of which has led to disruption for the global supply chain, including those deficits of key PC components, namely graphics cards, that we so acutely feel in PC gaming.
Digitimes reports that some of the companies affected by the shutdowns in Shenzhen includes InnoLux and GIS, two monitor manufacturers; Foxconn; King Core, an inductor manufacturer; Topoint, who manufacturers PCB drills; Yen Sun Technology, a cooling fan manufacturer; and Avary, the world's top supplier of PCBs.
Though thankfully many of these manufacturers do not cite any imminent issues with supply due to the week-long shutdown. For example, AU Optronics, a major panel manufacturer often found in gaming monitors, has already actioned a working from home initiative in the region, though so far that's not had any impact on its operations, DigiTimes reports.
It also states that since a great deal of component and laptop assembly, and component manufacturing, is located
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