Benedikt Sobotka |

Benedikt Sobotka Updated: 2020-03-26
Benedikt Sobotka, CEO of Eurasian Resources Group. [Photo provided to]

Benedikt Sobotka, CEO of Eurasian Resources Group

One can be really impressed by the decisive action that China has taken since January to contain COVID-19. We respect the sacrifice made by the millions of Chinese citizens in adhering to the containment policies and admire the government's sustained commitment to protecting public health.

The coronavirus outbreak has had a significant impact on China's economy, especially on the manufacturing production, retail and tourism industries. However, we expect this impact to be short term.

China's outbreak control and prevention measures and its resumed economic activities highlight the potential for a strong recovery in the second or third quarter, which will be spurred by pent-up domestic demand. According to the National Bureau of Statistics of China (NBS), in 2019, total retail sales of consumer goods reached 41,164.9 billion yuan, a growth of 8 percent from the previous year. We expect to see more growth in the market in 2020.

Eurasian Resources Group is a long-term partner of China, with the Chinese market accounting for 20-25 percent of the group's total sales volume. We have partnered with Chinese companies on a range of key business development initiatives and look forward to further extensive cooperation after the outbreak has subsided. We hope that this will happen soon.