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SALT LAKE CITY — There’s no doubt that the biggest threat caused by COVID-19 is to the health and wellness of people worldwide who have been or could be infected. But the disease, caused by a coronavirus, is also impacting businesses everywhere — including right here in Utah.
KSL reported last week that coronavirus shutdowns have depleted the stock of Springville-based MayDay Games, which relies on Chinese factories to produce its card and board games.
But other businesses are more in demand because of the outbreak. Ogden’s HHI Corporation manufactures biocontainment units, which the government has used to keep infected Americans isolated in transit.
Howard Goldman, director of investor and public relations for Salt Lake City-based Varex Imaging, said his company has felt both effects. While a Varex factory in Wuxi, China, was shuttered for a time earlier this year, it’s also true that the X-ray components maker is seeing more demand at the moment.
“We’re seeing a bit of near-term uptick in demand in China,” Goldman said. “If this strain of coronavirus were to spread more widely, we might see that type of demand from our customers in other parts of the world.”
Goldman said Varex’s Chinese employees are “safe and accounted for” right now. Varex made the decision early on, he said, to restrict corporate travel to and from China while the outbreak continues.
“So we’re finding other ways — phone, video conference, those types of things — to conduct business,” Goldman said. “I would likely think that if other areas of the world are similarly impacted, we may make those decisions corporately, as well.”
John Visser, vice president of global logistics for Utah essential oils company doTerra, said Thursday that his company has likewise restricted travel and made use of new communication technologies in China.
"The nice thing is, we live in a time where we can leverage technology and work remotely," Visser said, "whereas maybe, some decades ago, that wouldn't have been possible to do."
Goldman said there was “really no impact” on the Varex supply chain from the Wuxi factory closure. The company has a “buffer stock” like many manufacturers, he said. “So for the current period, and probably for a short time going forward, I think we’ll be in good shape.”
Visser said doTerra is not experiencing any serious supply chain disruptions at this time, either. "The one disruption we've seen, though, is really a tightening of airfreight capacity," he said, with many flights to and from China grounded for the time being. "That means even closer communication than ever before with our carriers."
Visser said doTerra is still getting product into the Chinese market, and that the company is relying on robust internal communication to stay up to date on the latest COVID-19 developments in China and around the world. "It's a lot about proactive communication," he said. "It's just so hard to read where these things will go."
Goldman agreed, saying it’s “too early to tell” what the ultimate impact of the coronavirus will be.
The Utah Governor’s Office of Economic Development will conduct an information session about coronavirus for Utah employers on Tuesday, March 10, from 4 to 5 p.m.
The office will "share information about protective measures businesses can take in the workplace" alongside the Utah Department of Health, Salt Lake Chamber, the Economic Development Corporation and the World Trade Center, according to a news release.
So, while it’s too soon to say what COVID-19 will ultimately mean for Utahns’ health, the state’s businesses may be the first to feel symptoms.
- To help mitigate infectious transmission of COVID-19, health care officials advise anyone who thinks they might have the virus to first call their doctor before going to a hospital
- Wash hands thoroughly and often
- Stay home if you’re feeling sick
- Don’t touch your face
- Cough or sneeze in your elbow or a tissue
- You could be at risk of having COVID-19 if you’ve recently traveled to mainland China, South Korea or, to a lesser extent, Japan, Italy and Iran
- Infected patients typically have a fever, cough and shortness of breath
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