More Chinese Labs Run Out of Cash as Government Payments Fall Behind

A Covid testing lab in central China’s Henan province suspending handling tests, saying Tuesday that local governments weren’t paying the bills. A day later, the lab said the issue was “effectively resolved.”

Xuchang Boao Runkang Medical Laboratory has conducted mass nucleic acid testing in the city of Xuchang since January 2021. The costs of reagents, supplies and labor without timely payment by districts and counties put significant financial pressure on the lab’s operations, the company said Tuesday in a statement.