# COVID-hit Shanghai to end two-month lockdown on June 1
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2022-05-30
Category: NEWS
Category URL: https://financedigest.com/category/news
Meta Title: Shanghai lifts COVID-19 lockdown: relief and wariness
Meta Description: Shanghai ends its lengthy lockdown, bringing relief to 25 million residents. Restrictions ease in low-risk areas, with masks still required.
URL: https://financedigest.com/covid-hit-shanghai-to-end-two-month-lockdown-on-june-1html

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By Brenda Goh and Ryan Woo

SHANGHAI/BEIJING (Reuters) -Shanghai on Monday announced an end to its two-month long COVID-19 lockdown, allowing the vast majority of people in China’s largest city to leave their homes and drive their cars from Wednesday.

The news brought an outpouring of relief, joy and some wariness from exhausted residents.

“I’m so emotional that I’m going to cry,” said one Weibo user.

Most of the city’s 25 million residents have been confined to their [homes for almost all of the lockdown](https://www.financedigest.com/keeping-your-team-connected-and-beating-work-from-home-fatigue-in-lockdown.html "Keeping your team connected and beating work from home fatigue in lockdown") which began on April 1, with curbs only slightly relaxing in recent weeks to allow some to go out for short periods of time.

Local authorities had earlier this month said they [planned to fully restore normal life by next month but it had not been clear how they would carry that out amid an insistence on sticking to China’s](https://www.financedigest.com/uk-not-planning-covid-testing-for-travellers-from-china.html "UK not planning COVID testing for travellers from China") zero-COVID policy.

Some residents greeted the news with disbelief, reflecting on how what was originally supposed to be a lockdown [lasting five days that became a much longer](https://www.financedigest.com/brand-loyal-brits-have-longer-relationships-with-their-car-than-their-last-lover.html "BRAND-LOYAL-BRITS HAVE LONGER RELATIONSHIPS WITH THEIR CAR THAN THEIR LAST LOVER") than anticipated ordeal.

Please don’t be lying to me,” one [person said on social media](https://www.financedigest.com/ai-and-social-media-are-revolutionizing-personal-finance-in-2023.html "AI and Social Media Are Revolutionizing Personal Finance in 2023"). “I’m numb,” said another.

The [easing of curbs](https://www.financedigest.com/oil-hits-3-week-high-as-china-eases-covid-curbs.html "Oil hits 3-week high as China eases COVID curbs") applies only to those in low-risk areas, which are home to about 22.3 million people, according to government data. People will still be required to wear masks and are discouraged from gathering and encouraged to get vaccinated.

Authorities did not say whether activities such as restaurant dining would be permitted.

Following the announcement, Li Qiang, Shanghai’s Communist Party chief and an ally of President Xi Jinping, said city authorities and residents had [“passed the test](https://www.financedigest.com/ensuring-traders-pass-the-test-of-mifid-ii-and-mar.html "Ensuring traders pass the test of MiFID II and MAR") under extreme conditions and completed the arduous task.

QUESTIONS REMAIN

The city-wide lockdown has fueled public anger and rare protests, as well as pummelled supply chains and [China’s economy](https://www.financedigest.com/china-steps-up-easing-cuts-lending-benchmarks-to-revive-faltering-economy.html "China steps up easing, cuts lending benchmarks to revive faltering economy").

Residents have heavily criticised the city government over its communication during much of the period. On Sunday, Shanghai [announced it was removing restrictions on business](https://www.financedigest.com/bawag-group-and-spotcap-announce-strategic-partnership-to-boost-small-business-lending-in-austria.html "BAWAG Group and Spotcap announce strategic partnership to boost small business lending in Austria") reopenings, but gave no indication at that time on how it would lift other lockdown measures.

It was also unclear whether firms, shops and supermarkets [must continue to adhere to a “closed loop” management](https://www.financedigest.com/managing-mobility-in-the-enterprise-must-have-consideration.html "Managing mobility in the enterprise must have consideration") system in order to reopen. Companies have [called such requirements problematic as they must find ways for workers to sleep on site](https://www.financedigest.com/ford-to-make-call-on-europe-job-cuts-by-mid-feb-as-buyers-circle-german-site.html "Ford to make call on Europe job cuts by mid-Feb as buyers circle German site") and carry out regular disinfection.

Shanghai [suffered a huge setback and lost its shine during the two months](https://www.financedigest.com/uk-factories-suffer-worst-month-since-may-2020-as-economy-stumbles-pmi.html "UK factories suffer worst month since May 2020 as economy stumbles – PMI") of stringent lockdown measures. Although the road to normality is long, these new measures indicate the prioritisation of Shanghai’s economic recovery” said Bettina Schoen-Behanzin, Vice President of the [European Union Chamber of Commerce in China](https://www.financedigest.com/european-shares-end-higher-on-china-recovery-optimism.html "European shares end higher on China recovery optimism").

BEIJIING EASING

China’s “zero COVID” policy aimed at eradicating outbreaks is at odds with other countries that have opted to live with the virus, and the lack of an exit strategy has [worried investors](https://www.financedigest.com/uk-stocks-slip-as-rate-hike-worries-grip-investors.html "UK stocks slip as rate hike worries grip investors").

[China’s new daily cases are in the hundreds compared with tens of thousands in many Western](https://www.financedigest.com/innovate-or-die-what-the-uk-and-the-western-powers-can-learn-from-china.html "Innovate or Die: What the UK and the Western Powers Can Learn from China") nations.

In Beijing, which is fighting its own smaller outbreak, streets were busier on Monday as more residents [returned to work and public transport curbs were eased](https://www.financedigest.com/uks-j-d-wetherspoon-returns-to-profit-as-supply-issues-ease.html "UK’s J D Wetherspoon returns to profit as supply issues ease"). But officials said the emergence of a new case outside of quarantined zones after three clear [days showed the tall](https://www.financedigest.com/tall-marks-its-25th-year-with-celebration-day.html "TALL Marks its 25th Year with Celebration Day ") task of quelling COVID.

Beijing had reported no cases in the community for three straight [days](https://www.financedigest.com/shanghai-finds-cases-after-five-days-of-zero-covid-but-end-of-lockdown-on-track.html "Shanghai finds cases after five days of ‘zero COVID’ but end of lockdown on track") – the best run since its current outbreak began in late April – until a new case surfaced on Monday.

There was a new flare-up today, indicating Beijing’s ‘dynamic-zero’ mission is arduous and we should constantly be on alert,” municipal [government spokesperson Xu Hejian told a news conference](https://www.financedigest.com/imf-amf-afesd-and-government-of-morocco-to-host-regional-conference-opportunity-for-all-promoting-growth-jobs-and-inclusiveness-in-the-arab-world.html "IMF, AMF, AFESD and Government of Morocco To Host Regional Conference: “Opportunity for All—Promoting Growth, Jobs, and Inclusiveness in the Arab World”").

The Beijing districts of Fangshan and Shunyi ended work-from-home rules on Monday, while that requirement has also largely been dropped in the city’s biggest district Chaoyang. Public transport has mostly resumed in all three areas.

Libraries, museums, theatres and gyms were allowed to reopen on Sunday, though with limits on numbers of people, in districts that have seen no community [COVID cases](https://www.financedigest.com/hungarian-doctors-warn-of-sad-christmas-as-covid-cases-soar.html "Hungarian doctors warn of ‘sad Christmas’ as COVID cases soar") for seven consecutive days. Still, restaurant dining is banned throughout the city.

[Shanghai reported fewer than 100 new COVID](https://www.financedigest.com/in-shanghai-lockdown-blues-make-way-for-covid-testing-gripes.html "In Shanghai, lockdown blues make way for COVID testing gripes") cases for May 29, while Beijing recorded 12. [Across the country](https://www.financedigest.com/sdl-helps-lifeplus-engage-with-customers-across-50-countries-and-gain-control-of-translation-costs-and-processes.html "SDL Helps Lifeplus Engage with Customers across 50 Countries and Gain Control of Translation Costs and Processes"), China reported 184 new cases, down from 293.

While there have been signs that economic activity is recovering somewhat from a dismal April, the [strength and sustainability of any rebound depends largely on COVID developments](https://www.financedigest.com/reckon-software-goes-from-strength-to-strength-with-appointment-of-new-partner-development-manager.html "Reckon Software goes from strength to strength with appointment of new Partner Development Manager").

China is hoping frequent mass COVID testing will allow them to detect [future outbreaks at an early stage and aim to have testing facilities within 15-minutes’ walk of everyone in its big cities](https://www.financedigest.com/investing-in-the-city-thats-investing-in-itself-welcome-to-the-liverpool-of-the-future.html "INVESTING IN THE CITY THAT’S INVESTING IN ITSELF – WELCOME TO THE LIVERPOOL OF THE FUTURE!  ").

The government is on track to [spend more than $52 billion](https://www.financedigest.com/chipmaker-infineon-ready-to-spend-billions-on-acquisitions-ceo.html "Chipmaker Infineon ready to spend billions on acquisitions – CEO") this year on testing, new medical facilities, monitoring equipment and other anti-COVID measures, which will benefit as many as 3,000 companies, analysts say.

(Reporting by Brenda Goh, Winni Zhou and Casey Hall in Shanghai; Yifan Wang and Ryan Woo in Beijing; and the Beijing and Shanghai bureaus; Writing by Marius Zaharia and John Geddie; Editing by Michael Perry and Angus MacSwan)


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