At end of December 2019, the novel coronavirus was outbreak in Wuhan. With the help of the people immigration during the Spring Festival, the epidemic spread across the country, expanding the scope of the economic impact. At the same time, the closure of cities and villages across the whole country also temporarily suspended some parts of China's supply chain. Although this epidemic will not change the process of China's economic and urbanization, it is certain that it has a big impact on the industry structure and the economic. This article will analyse 20 industries that will possibly growth in China under the influence of the coronavirus. We divided the 20 industries into the following 4 categories: medical, remote office, entertainment and life.
Since the outbreak of the novel coronavirus, many companies have begun to switch to produce masks. Chinese automobile companies such as GAC, SGMW and BYD, manufacturing company such as Foxconn, and clothing brand Three Gun have all pronounced the switching to face mask production.
After the epidemic, a sharp decline in the demand for face masks might be inevitable. However, the awareness of personal hygiene is going to increased, masks will gradually change from protective supplies to daily necessities, and masks are also likely to be incorporated into national strategic materials. Therefore, in the long term, the face mask and personal hygiene industry will be prospective.
Improper medical waste treatment at all levels and types of hospitals is prone to virus transmission and the secondary pollution, so it has raised much attention. At present, China's medical waste disposal industry is still in the development stage, while the medical waste disposal volume has continued to increase, reaching 980,000 tons in 2018, an increase of 7.7% compared to 2017. During the epidemic, the amount of medical waste in Hubei increased by nearly 27%. Even though the epidemic is relatively light in other places, and the medical waste disposal pressure is relatively light, the medical waste disposal facilities still incomplete and need to be improved.
The pharmaceutical and biological industry is also one of the short-term beneficiaries of the epidemic. China has conduct more than 20 clinical trials of coronavirus treatment medicine. Based on available treatment cases and clinical data, Chloroquine and Remdesivir show good potential for treating the disease.
In recent years, the market scale of China's Internet medical industry has shown a steady upward trend. The outbreak of coronavirus in 2020 promoted the short-term demand for Internet healthcare in China and accelerated the development of the industry. Data show that from 2012 to 2018, the market size of China's Internet medical industry has developed rapidly, from 6.7 billion yuan to 49.1 billion yuan, with an average annual compound growth rate of 39.37%. it is predicted that the scale of internet medical industry will exceed 94 billion yuan in 2020. The epidemic has brought about a substantial short-term increase in traffic for the development of Internet healthcare in China, in the future, the long-term development will depend on the retention of current users and the development of new users.
Remote Office and Online Collaboration
To control the spread of the coronavirus, various regions have actively responded to the policy and issued notices of postponement of return to work. The delay of back to work has had a significant impact on business. Online office and collaboration can enable employees to carry out their job for home and helps to reduce personnel movement and control the epidemic. There are 4 categories of online collaborative software: communication, collaboration, transmission and management. Remote working is the main demand for most companies. Once the companies and workers used to this way of working, the online working trend is irreversible. By now, the size of China's basic office software market is about 10 billion yuan, and it is expected to reach over 1.5 billion USD by 2023.
Video conferencing also helped people work from home during the outbreak. As proposed by government to reduce gatherings and face-to-face communication, various video conferencing vendors have launched free trail for their video products or online collaboration products. The domestic software conference market is only US $ 173 million now, but it is estimated to reach US $ 537 million by 2023, which is three times than the current size.
In addition, the scale of the server industry is also steadily increasing. Data show that in 2014, there are 793 server companies in China, while by 2018, the number increased to 992. The Chinese server market is dominated by domestic brands. According to IDC data, by the third quarter of 2019, the top three vendors of China's X86 server are Inspur, Huawei and New Sanhua. The epidemic has accelerated the increasing of server demand. From January 29 to February 6, the Tencent Conference is expanding its resources every day. The average daily expansion of cloud hosts is close to 15,000, A total of over one million cores of computing resources are involved.