A recent earthquake in China will cost some $250m in economic losses says RMS
The recent earthquake that struck the Chinese province of Yunnan will cost some 1.91RMB ($250m) in economic losses, according to a new study by Risk Management Solutions and the Institute of Engineering Mechanics (IEM) in China.
The magnitude 6.3 earthquake near the borders of Myanmar, Laos, and Vietnam on 3 June hit the Ning'er County and the tea-producing city of Pu'er the hardest. Three people died and more than 400 were injured.
The impacted region is mountainous and remote, and has experienced slow economic development. As a result, many buildings are old and are have little resistance to earthquakes. With a depth of only 5km, the earthquake produced cracks along the ground which caused water to flow to the surface and mudslides to be triggered. In addition to property damage, communications, water supply, and local infrastructure were affected.
Of the total economic loss, around 55% is believed to be attributable to residential properties – mainly from unreinforced walls collapsing – while the rest is from building and contents damage to commercial properties and infrastructure.