China’s lockdown of its tech hub is bad news for the Fed’s fight against inflation

China locked down Shenzhen, its tech hub and second biggest port, and imposed severe curbs on Shanghai, its biggest port, as nationwide cases doubled in a day. But what is being called China’s worst outbreak in two years still refers only to 66 new cases registered on Mar. 13 in Shenzhen, a city of 17 million people, and 65 cases in Shanghai, a city of nearly 25 million.

In Shenzhen, all non-essential workers must stay home—which means that the factories making iPhones, semiconductor chips, computers, and other tech products will not function for a week. Shenzhen’s free trade zone will shut down. In a note to its customers, the supply chain firm SEKO Logistics, which has an office in Shanghai, warned: “No cargo will be able to load in [Shenzhen’s port] Yantian from next week and vessels most likely will omit the port.”