Unilever, 3M on list of firms eligible for China loans to ease coronavirus crisis | The Business Standard
Skip to main content
  • Epaper
  • Economy
    • Aviation
    • Banking
    • Bazaar
    • Budget
    • Industry
    • NBR
    • RMG
    • Corporates
  • Stocks
  • Analysis
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
The Business Standard

Wednesday
May 28, 2025

Sign In
Subscribe
  • Epaper
  • Economy
    • Aviation
    • Banking
    • Bazaar
    • Budget
    • Industry
    • NBR
    • RMG
    • Corporates
  • Stocks
  • Analysis
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
WEDNESDAY, MAY 28, 2025
Unilever, 3M on list of firms eligible for China loans to ease coronavirus crisis

Global Economy

Reuters
19 February, 2020, 03:10 pm
Last modified: 19 February, 2020, 03:22 pm

Related News

  • Hong Kong, Shanghai extend surge as China optimism boosts markets
  • Typhoon Bebinca lands in Shanghai, strongest storm to hit city since 1949
  • Flights grounded in Shanghai as China prepares for typhoon
  • Yes, everyone really is sick a lot more often after covid
  • Pentagon's secret anti-vax campaign against China during the pandemic

Unilever, 3M on list of firms eligible for China loans to ease coronavirus crisis

Companies producing medical supplies and which are "backbone enterprises" providing daily necessities are eligible for the special loans, according to a notice on the Shanghai MIIT's website

Reuters
19 February, 2020, 03:10 pm
Last modified: 19 February, 2020, 03:22 pm
Photo: BSS
Photo: BSS

Shanghai has compiled a list of firms, including local units of multi-nationals Unilever PLC and 3M Co, as eligible for millions of dollars in subsidised loans to ease any blow from the coronavirus outbreak, according to bankers and documents seen by Reuters.

In an economically bruising three weeks, China has cordoned off cities and suspended transport links in an effort to slow the spread of the virus.

Some lenders in the city have each received a list of firms compiled by the Shanghai branches of the Ministry of Industry and Information Technology (MIIT) and the National Development and Reform Commission (NDRC), according to seven bankers, each at a different lender.

The Business Standard Google News Keep updated, follow The Business Standard's Google news channel

"Every bank in Shanghai is rushing to lend to the companies on its list, to earn political goodwill," said one banker who had seen a list with 194 firms, including restaurant operators and property developers.

Other lenders have received shorter versions of the list, bankers said.

Companies have the option to nominate themselves to be added to the overall list. Each lender then determines independently whether to approach a company on its list and offer finance, according to the bankers.

Companies producing medical supplies and which are "backbone enterprises" providing daily necessities are eligible for the special loans, according to a notice on the Shanghai MIIT's website.

China is trying to deal with a nationwide shortage of medical supplies, from face masks to protective suits, while hospitals in central Hubei province - the epicentre of the outbreak - struggle to manage hundreds of new cases a day.

One bank's list of firms reviewed by Reuters included 3M Medical Devices and Materials Manufacturing (Shanghai) Co Ltd, Unilever (China) Co Ltd as well as medical supply firms Shanghai Kindly Enterprise Development Group Co Ltd and Tellgen Corp.

There is no indication from the list that loans offered will necessarily be sought, or that such firms are in any financial need.

The Bank of Shanghai Co Ltd told Reuters it will lend 5.5 billion yuan ($786 million) to 57 firms on its list.

So far, 430 million yuan of that has been drawn down at an average interest rate of 2.65%, the bank said. With subsidies, the borrower only pays 1.32%, it said.

Under a similar programme in Beijing, companies sought bank loans totalling at least $8.2 billion, Reuters reported earlier this month.

The aim of the loans is to ensure financial support to key companies helping prevent and fight the epidemic, the Shanghai government notice said.

Shanghai authorities are compiling the list to help the central bank, the People's Bank of China (PBOC), funnel 300 billion yuan of cheap loans to virus-hit companies nationwide.

Shanghai-based medical equipment manufacturer Derlar, on a list seen by Reuters, put its name down for financing last week, said a person surnamed Shen in Derlar's finance department, adding the firm had not yet received any money.

Shanghai Kaibao Pharmaceutical Co Ltd, on the same list, said it had not yet received a loan, in response to Reuters' questions about its application. A person surnamed Ren in the firm's finance department added it will provide more details if money is received.

Banks which have received a list of potential borrowers include the Shanghai branches of Ping An Bank Co Ltd , China CITIC Bank Corp Ltd, China Guangfa Bank Co Ltd, China Merchants Bank Co Ltd , Shanghai Huarui Bank and the Bank of Ningbo Co Ltd , according to people working at those lenders, who declined to be named as they were not authorised to speak to the media.

The lenders, MIIT, NDRC and PBOC did not respond to requests for comment from Reuters.

A spokeswoman from Unilever said it had "no current plans to apply for any financing support".

3M and other companies listed including Shanghai Kindly Enterprise Development Group and Tellgen did not respond to requests for comment.

No Interest

One Shanghai-based face mask manufacturer on the list will not pay any interest on a loan from the Shanghai branch of the Bank of Ningbo if government subsidies are taken into account, said a person with direct knowledge of the matter.

Shanghai Roche Pharmaceuticals Ltd, a unit of Swiss drug firm Roche Holding AG, was also on a loan list seen by Reuters. A spokesman for the firm said "the company did not apply for any loans".

After banks make the loans, they can then claim more funding from the central bank, according to the PBOC's website.

China has issued more than 1,600 force majeure certificates to shield companies from legal damages arising from the coronavirus outbreak, state news agency Xinhua reported on Tuesday, an indication of difficulties faced by Chinese firms.

World+Biz / Top News

Unilever PLC / Shanghai / Coronavirus impact / Coronavirus in China / corona virus / Coronavirus / PBOC / The People’s Bank of China (PBOC)

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • Leaders and activists of BNP gather at Nayapaltan ahead of the rally of three BNP affiliated organisations on Wednesday, 28 May 2025. Photo: Rajib Dhar/TBS
    BNP's youth bodies hold rally in Nayapaltan
  • Inflation, exchange rate shocks to intensify fiscal pressure in FY26
    Inflation, exchange rate shocks to intensify fiscal pressure in FY26
  • Screengrab from Google Maps shows the traffic situation in Motijheel, Paltan, Dainik Bangla Intersection and other Dhaka areas ahead of the BNP rally on Wednesday, 28 May 2025
    BNP, Jamaat rallies: Traffic clogs Dhaka roads, including Motijheel, Paltan, Dainik Bangla intersection

MOST VIEWED

  • Selim RF Hussain. Sketch: TBS
    BRAC Bank MD Selim RF Hussain resigns
  • Bangladesh Bank Governor Ahsan H Mansur. TBS Sketch
    Depositors need not worry as govt will take over banks before merger: BB governor
  • Graphics: TBS
    Suspicious banking activities surge by 56% since July: Cenbank
  • Photo: Collected
    DU student assaulted for protesting eve-teasing at Chadni Chowk
  • Illustration: TBS
    Bangladesh sees highest-ever per capita income of $2,820 in FY25, BBS provisional data shows
  • Officials protest inside the Secretariat on Tuesday, 27 May 2025, over a government ordinance amending the Public Service Act, 2018. Photo: Rajib Dhar
    Protest at Secretariat suspended as govt assures decision on ordinance tomorrow

Related News

  • Hong Kong, Shanghai extend surge as China optimism boosts markets
  • Typhoon Bebinca lands in Shanghai, strongest storm to hit city since 1949
  • Flights grounded in Shanghai as China prepares for typhoon
  • Yes, everyone really is sick a lot more often after covid
  • Pentagon's secret anti-vax campaign against China during the pandemic

Features

In recent years, the Gor-e-Shaheed Eidgah has emerged as a strong contender for the crown of the biggest Eid congregation in the country, having hosted 600,000 worshippers in 2017. Photo: TBS

Gor-e-Shaheed Boro Maath: The heart of Dinajpur

1d | Panorama
The Hili Land Port, officially opened in 1997 but with trade roots stretching back to before Partition, has grown into a cornerstone of bilateral commerce.

Dhaka-Delhi tensions ripple across Hili’s markets and livelihoods

2d | Panorama
Photo: Collected

Desk goals: Affordable ways to elevate your study setup

2d | Brands
Built on a diamond-type frame, the Hornet 2.0 is agile but grounded. PHOTO: Asif Chowdhury

Honda Hornet 2.0: Same spirit, upgraded sting

2d | Wheels

More Videos from TBS

UCB aims to grow deposits by Tk12,000 crore this year

UCB aims to grow deposits by Tk12,000 crore this year

26m | TBS Programs
What did Jamaat leader ATM Azhar say after being released from prison?

What did Jamaat leader ATM Azhar say after being released from prison?

1h | TBS Today
How can we protect Dhaka’s rivers and canals from plastic waste?

How can we protect Dhaka’s rivers and canals from plastic waste?

3h | TBS Programs
Jamaat leader ATM Azhar released from prison after 13 years

Jamaat leader ATM Azhar released from prison after 13 years

3h | TBS Today
EMAIL US
contact@tbsnews.net
FOLLOW US
WHATSAPP
+880 1847416158
The Business Standard
  • About Us
  • Contact us
  • Sitemap
  • Advertisement
  • Privacy Policy
  • Comment Policy
Copyright © 2025
The Business Standard All rights reserved
Technical Partner: RSI Lab

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net