The Impact of Zika on Global Trade

The Zika virus has been a topic of growing concern as of late. The Zika virus’s discovery dates back to the 1940’s but has been largely unrecognized as a threat until recent outbreaks. Scientific research has linked the mosquito-transmitted virus to neurological disorders such as Guillain-Barré Syndrome as well as microcephaly (MedineDaily). Due to the possible severity of the impact on adults as well as young children, babies and fetuses, many countries are implementing measures in an attempt to contain the spread of the virus.  The Zika virus containment measures do not effect travel to Zika effected countries, but will impact the transportation of goods, thus impacting global businesses and logistics.           

Recent Zika prevention measures have influenced US-China import regulations. As of August 3, 2016, China has added the United States to a list of 68 countries that require Zika anti-mosquito treatment per the guidelines of the Chinese Administration of Quality Supervision, Inspection and Quarantine (AQSIQ) (Scarbrough-Intl). US export cargo inbound to China must be treated at the point of origin or be subject to treatment upon arrival at the Chinese ports. Concern regarding the new regulations include export delays as well added costs due to the treatment. Delays could be up to 3 days and the cost to fumigate the containers can range from $100-$200 (Wall Street Journal).

All shipments and vehicles arriving to China must be certified as mosquito free by way of a Mosquito Eradication Certificate (MEC) or be fumigated at the destination port (iContainers). US officials are currently working with the Chinese Inspection and Quarantine Ministry to define a set of guidelines to diminish confusion amongst exporters and Chinese customs officials to help reduce noncompliance and return of goods to the US. Overtime, US exporters hope that the processes for Zika mosquito treatment on exports will be applied to cargo coming in from Zika affected cities across the US, but in the meantime all US Cargo has to abide by the AQSIQ regulations regarding the Zika Virus. 

Allyn Contributor: Shelina Bhimani 

References:

Bushak, Lecia, and Lecia Bushak Lecia Bushak Is a Writer and Reporter Focusing on Medical,  Science, and International News. Read More. "A Brief History Of Zika Virus." Medical Daily.  N.p., 08 Apr. 2016. Web. 02 Sept. 2016.

Paris, Costas. "China's Zika Fumigation Rules Raise Worries for U.S. Exporters." WSJ. Wsj.com, 25 Aug. 2016. Web. 02 Sept. 2016.

Taylor, Kim. "Zika Virus Advisory for US Shippers, Fumigation Requirements to China." Scarbrough International. Scarbrough International, 11 Aug. 2016. Web. 02 Sept. 2016.

"US Exporter Confusion over China's Zika Rules Persists." US Exporter Confusion over China's Zika Rules Persists. Journal of Commerce, 26 Aug. 2016. Web. 02 Sept. 2016.

"UPDATED: Anti-Zika Treatment for US Exports to China - IContainers." IContainers. N.p., 30 Aug. 2016. Web. 02 Sept. 2016.