China is dealing with a new wave of COVID-19 cases. Residents of Shanghai, Beijing and Xi'an were ordered to undergo rounds of tests in a bid to trace sources of the new cases. Tightened restrictions have also been placed on businesses and residents Macau and Hong Kong. 

The official response to the outbreak is sparking fresh fears of lockdowns, in line with China's zero-COVID policy that has begun to face criticism as being untenable.

Fresh lockdown fears in Shanghai

"People now aren't really scared of COVID anymore; they're scared of being locked down in their homes," said a Shanghai resident who gave his name as Yao in an interview with AFP.

Shanghai closed all karaoke bars on Wednesday after an emerging cluster of cases were linked to an illegal karaoke lounge in the city. China's most-populous city recently emerged fromlockdowns in April and May. Shanghai city officials are now under mounting pressure to contain the new potential spread. 

"There should be no slacking," said Shanghai health official Zhao Dandan at a briefing. "Several Chinese areas facing local outbreaks and infections have emerged at the community level in Shanghai, to which we should attach great importance." 

Shanghai tested all residents in half of its 16 districts Tuesday to Thursday, and added tests in parts of three other districts. The city reported 24 new cases on Tuesday and eight the previous day. 

New cases in Beijing and Xi'an

The city of Beijing has been conducting regular rounds of testing after a recent spate of outbreaks emerged linked to a nightlife spot. A steel fence has been installed around at least one residential compound in Shunyi to prevent residents from leaving. The suburb that lies outside of Beijing's center is home to many foreign residents and diplomats. 

Authorities on Tuesday also reported more than 300 news cases in Xi'an, a city that lies more than 1,000 kilometers (621 miles) southwest of Beijing. The city of around 13 million was placed under "temporary control measures" after 29 new cases were discovered on Saturday, primarily among recycling workers. Xi'an also endured a month-long full-scale lockdown at the end of last year. 

Macao's casino industry suffers 

More than 14,000 people are also in quarantine in Macao. Authorities reported 146 new infections in the gambling hub, bringing Macao's cases to more than 1,000 since mid-June. This marks the special administrative region's largest outbreak since the onset of the global pandemic.

Authorities have ordered closures for most establishments apart from casinos to contain the spread, and residents are obliged to participate in a testing drive.

More than 80% of tax revenue in Macao comes from the casino industry. Some casinos have been allowed to stay open to ensure job security. However, The Grand Lisboa, one of the city's best-known landmarks, became the second casino to be shuttered on Tuesday after more than a dozen cases were discovered there. 

Owners of the Grand Lisboa said that the company "stands united with the entire community in this health crisis and wishes Macao a rapid recovery from the pandemic," in an emailed statement to Reuters.

Casinos that remain open are staffed with fewer workers and receive smaller numbers of patrons. Revenues from the industry are likely to be zero for at least several weeks, analysts said.

A return to zero-COVID?

Cases in neighboring Hong Kong have also been on the rise since late June; reported infections averaged around 2,000 per day this month so far. 

Shanghai, Beijing and Macao all adhere to China's "zero-COVID policy", which involves limited movement, targeted lockdowns and mass testing. 

Hong Kong imposed the same policy during earlier outbreaks. The city is assessing whether to shorten COVID-19 quarantines for travelers, said John Lee, Hong Kong's new chief executive, and whether this would still make it possible to keep infection numbers in check. However, the leader also said on Wednesday that Hong Kong must not "lie flat" when it comes to containing the virus.

asw/msh (AP, Reuters)