British businesses in China expect to see their revenue drop significantly this year amid the Covid-19 outbreak, with nearly half predicting revenue will be cut over 10% and more than a quarter expecting it to decrease more than 20%, according to a survey conducted by the British Chambers of Commerce in China, reported Caixin.
After surveying 135 companies last week, the chamber said Tuesday that the deadly novel coronavirus epidemic has been weighing heavily on British businesses based in China, 22% of which expect their revenue this year to drop by 10% to 20% as a direct result of the outbreak, while 27% expect a decrease of more than 20%.
The surveyed firms said the biggest impacts of the virus came from reduced demand, global travel disruption and ongoing uncertainty. More than half of the businesses’ offices in China remain closed and about one-third have postponed investment decisions, although 70% said they had not shuttered their Chinese mainland manufacturing facilities.
“Two weeks on from our initial survey on the impact of Covid-19, British businesses continue to feel the effects of this challenging situation, and they will need support in order to recover. The majority of businesses are seeing a direct hit on their revenue as a result, and this is especially acute among smaller companies,” said John Moore, the chambers’ chair.