0 items USD 0.00Covid-19 Impact on Global Economy: Analysis of Major Industries
The infectious coronavirus called SARS-CoV-2 (formerly 2019-nCoV), which broke out in late 2019, has imposed a medical emergency worldwide. On 11 March 2020, the World Health Organization officially declared the novel coronavirus a pandemic.
1 . 1. COVID-19 Impact on Construction Industry
Prior to the outbreak of the coronavirus (COVID-19), it had been predicted that there would be an acceleration in the pace of growth in the global construction industry, to 3.1% from 2.6% in 2019. However, given the severe disruption in China and other leading economies worldwide following the outbreak, the forecast for growth in 2020 has now been revised down to 0.5%.
Analyst Take - "With extreme quarantine measures including lockdowns or entire countries as well as international travel restrictions being imposed across major economies, the supply shock is expected to dampen economic activity. The direct impact on construction has been halting of work with labor unable to get to sites or because of disruption in the delivery of key materials and equipment."
'Global Construction Outlook to 2024 - COVID-19 Impact' reveals the extent to which the construction industry has been affected in all major regions.
2 . 2. COVID-19 Impact on Automotive Industry
These reports highlight the global light vehicle sale scenarios under COVID-19, whereby it has been aimed to achieve substantive coverage with a measured approach through the selected regions: Asia-Pacific, Europe, North America, and South America. Secondly, we have underpinned Original Equipment Manufacturer (OEM) exposure assessment, covering the world's largest markets: China, North America, and Europe.
Analyst Take - "Hyundai announced on 3 April that it would extend any warranty that was due to expire during the crisis by up to three months. That equates to more than 1.2 million vehicles worldwide with warranties that were due to expire between March and June 2020. This will give customers some welcome reassurance that, if their car breaks down during the crisis, Hyundai will still cover the repair."
'COVID-19 and its impact on the Automotive sector' reveals the extent to which the automotive industry has been affected in all major regions.
Highlights of the sector so far:
- Sectoral Concerns have moved on from being centered on supply chain disruption emanating from the source of the virus’s inception to the demand side of the equation.
- Initial reports revealed the deep-seated complexity of supply chains as production at FCA and Hyundai factories in Europe and South Korea was disrupted.
- However, given the size and importance of the Chinese market to the industry, global light vehicle sales were severely dented in January 2020.
- No parts of the automotive value chain will be undamaged in the short-term, with some more exposed than others
- Most plants in Europe and North America are now closed. For Europe, we estimate the impact of the closures – taking the end of April as a cut-off point – at 1.3 million vehicles being cut from the production
- All eyes will now be on China for first indications of how the industry can recover, as the country itself restarts operations and returns to some semblance of normality.
3 . 3. COVID-19 Impact on Component Industry
The coronavirus (COVID-19) is by far the most significant theme to affect the technology industry in 2020. It will put incredible strain on the world’s economy, which will be effectively halted for three months or more. Many companies will not survive this initial phase. Before COVID-19 hit, component makers were already suffering from waning global business confidence and flagging capital expenditure on automating and upgrading plants. Industrial robot sales have stalled, even in China which has a high priority in increasing its robot density.
Analyst Take - "In autos, GM, Ford, Chrysler, Volkswagen, Toyota, Honda and Hyundai have closed plants due to COVID-19. This has caused an immediate blow to the already stuttering parts suppliers. The collapse in demand for electric vehicles has hit lithium-ion battery cell suppliers. You’d like to think that the market for components for consumer electronics will bounce back if consumer confidence returns and supply chains return to working order. If there is a rebound, it will be some way off. The key thing for component makers is to recognise and act on the signs of recovery when they emerge."
'COVID-19 Impact on Component Makers - Thematic Research' reveals the extent to which the component manufacturers have been affected in all major regions.
The report includes a thematic screen, that ranks the leading companies in this sector on the basis of overall leadership in the 10 themes that matter most to their industry, including COVID-19. This generates a leading indicator of future performance.
4 . 4. COVID-19 Impact on Industrial Automation
Industrial automation was not in a good shape before COVID-19 struck, having been slowed by flat capital expenditure and declining industrial production. The virus has since closed factories, with workers across the world sent home. It has exposed the fact that, despite a lot of hype over the years, advanced factory automation has not been substituted for human workers at scale. The virus may serve to accelerate investment in factory automation when the global economy eventually rebounds, but that will take a while.
Analyst' Take - "Before COVID-19 struck, industrial automation was slowed by flat capital expenditure and declining industrial production. The virus has exposed the fact that despite the hype, advanced factory automation has not substituted human workers at scale. Technologies such as blockchain for inventory management and logistics, and cloud-orchestrated AI for assembly line robotics have either been insufficiently developed or too difficult to use.."
'COVID-19 Impact on Industrial Automation - Thematic Research' reveals the extent to which the industrial automation players have been affected in all major regions.
Had business moved with more alacrity and determination when it had the opportunity, it would now be in a different place.
5 . 5. COVID-19 Impact on Semiconductor Industry
In the space of three months, the backdrop for the semiconductor sector has changed, but long-term issues remain and must be solved. The industry entered 2020 amid slowing global economic growth, the rancor of the US-China trade war, a desire to shift the global supply chain away from dependence on China, and a flat sales picture for its two biggest customers: smartphone manufacturers and laptop suppliers.
Analyst' Take - "US majors, such as Intel, Qualcomm, and Texas Instruments derive 30% or more of their revenues from China and the market is seen as a major source of potential growth. The COVID-19 outbreak means US companies’ ambitions will suffer, with little prospect that China’s growth engine will rev up again in 2020. That said, COVID-19 is no sector game-changer. China will continue to make its economy more self-sufficient, driven by domestic consumers buying products designed and made in China. The US industry must face up to the fact that its biggest market will eventually become its biggest competitor."
'COVID-19 Impact on Semiconductors - Thematic Research,' reveals the extent to which the semiconductor manufacturers have been affected in all major regions.
The COVID-19 pandemic will shrink worldwide end-user demand for everyday products powered by semiconductors. COVID-19’s impact also means much of the industry is only operating at about 50% capacity, though China is moving again. At the same time, the global supply chain has stalled, exacerbated by COVID-19-related border checks that could last for months.
6 . 6. COVID-19 Impact on Tech, Media & Telecom (TMT) Industry
The report to reflect the impact of COVID-19', on 17 separate TMT sectors. Its analysis provides insight into the impact of COVID-19 on leading companies, as well as the impact of COVID-19 across 17 different technology sectors. It discusses the short- and long-term impacts of COVID-19 on each sector, and ranks on a company-by-company basis the individual impact of COVID-19 alongside nine other themes that affect that sector. All sectors will be negatively impacted.
Analyst' Take - "The most affected sub-sectors of advertising will be out-of-home and events advertising, as people go into isolation and large public gatherings are canceled worldwide. Advertising can play a significant role in the global response to COVID-19, with companies able to build brand value through socially-conscious advertising and PR. Those that take this proactive approach will fare better both during and after the crisis."
'COVID-19 Impact on Tech, Media & Telecom (TMT) - Thematic Research,' reveals the extent to which the TMT Sector have been affected in all major regions.
The thematic report will test the financial robustness of companies. Many companies will not survive this initial phase. Almost all others will suffer a significant drop in revenues. If you're worried about the pace of innovation in your industry, you should utilise this report: it provides a top-down, comprehensive outlook for the top 600 players in the TMT industry, based on the key themes – including COVID-19 – set to transform their industry landscape over the next two years.
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3. Covid-19 Impact on Global Ventilator Market
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