Selloff or Market Correction? Either Way, Here's What to Do NextSee Overvalued Stocks

Shenzhen skyscraper closed as officials seek cause of shaking

Published 05/21/2021, 12:50 AM
Updated 05/21/2021, 01:11 AM
© Reuters. FILE PHOTO: People gather outside the 73-storey SEG skyscraper in Shenzhen, China, May 18, 2021, in this picture obtained from social media. Weibo/@Shaguo Dabao Tou/via REUTERS
WB
-

By David Kirton

BEIJING (Reuters) - The owner of a 71-floor office tower in the southern Chinese city of Shenzhen closed the building on Friday pending an investigation into what caused the skyscraper to begin shaking on Tuesday.

Shenzhen Electronics Group Co Ltd will close the 356-metre (1,167 feet) SEG Plaza to tenants and shoppers to carry out inspections into the cause of the swaying, it said in a notice posted on the Weibo (NASDAQ:WB) social media account of the state-owned Xinhua News agency.

Reuters could not immediately contact Shenzhen Electronics for a comment on the closure.

The swaying caused objects on desks in the building to move and workers were evacuated from the tower. Videos shared on social media showed panicked pedestrians fleeing the area after the rocking began.

Several nearby buildings were also evacuated, with police and fire crews sealing off the surrounding area.

The main structure of the building is safe and no cracks were found in the building or its surroundings, the Shenzhen Housing Authority said in a statement on Wednesday. An initial investigation ruled out an earthquake as the cause.

SEG Plaza opened in 2001 and several of the lower floors contain electronics shops.

On Wednesday, the U.S. Consulate General in Guangzhou, recommended that U.S. citizens avoid the Huaqiangbei area where the building is located because of "inadequate information to assess the safety risks."

Business has continued as normal for those working nearby.

"Most of my colleagues are making fun of this, they're not worried," said Keyman Guan, whose robotics company continued its anniversary in a nearby building hours after the evacuation on Tuesday.

"I didn't realise what happened until I saw a picture of the crowd in the streets."

© Reuters. FILE PHOTO: People gather outside the 73-storey SEG skyscraper in Shenzhen, China, May 18, 2021, in this picture obtained from social media. Weibo/@Shaguo Dabao Tou/via REUTERS

Others say they will remain cautious until there is a clear explanation.

"I wouldn't dare to go back and work unless there's a very thorough and reasonable report," said Donny Zhang, who runs a hardware consulting and sourcing company in the area.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.