HONG KONG—China’s severe Covid-19 restrictions, which for two years have aided the country’s pandemic rebound by keeping the virus outside its borders, are now emerging as the largest threat to its growth.
Signs are growing that the economy has been cooling rapidly in recent weeks as the highly transmissible Omicron variant of the coronavirus spreads across dozens of Chinese cities and prompts the harshest lockdowns since the earliest days of the pandemic in 2020.
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