Supply disruptions from the Covid-19 pandemic raise questions about the benefits and costs of global value chain (GVC) participation and the possibility that supply chain networks may have shifted during this period. Using firm-level data on supply chain linkages, we document the evolution of GVCs during the pandemic by comparing GVC network diagrams and firms‘ shipment data over the course of the pandemic. Furthermore, we study how such linkages affected equity investors‘ reaction to pandemicrelated disruptions. Our findings suggest that GVCs contracted following the pandemic outbreak and were slow to recover in some sectors. We also find that firms with GVC links to countries undergoing Covid-related lockdowns suffered larger stock price losses than those without such links. In addition, sectoral responses to lockdown announcements varied, underscoring the need to consider sectoral differences in the study of GVC shifts.