Chinese Company That Makes iPhones Restarts Operations Amid Coronavirus

Bicanskli  Pixnio

Bicanskli Pixnio

Local Chinese authorities have recently refuted a report regarding the pause on reopening iPhone production facilities in Shenzhen, including Apple supplier Foxconn, in light of the coronavirus outbreak.

Market research firm Trendforce on Monday cut its forecast for iPhone production in the first three months of the year by about 10 percent to 41 million handsets. Due to Coronavirus outbreak, Foxconn last week announced that it is extending the leave of its factory workers until Feb 9th.

However, Foxconn did tell Reuters last week that any delay beyond February 9 could have a "big" impact on meeting its production schedule, and now it looks like the company may be struggling to keep up as it not only encounters difficulty getting permission from the Chinese government to reopen its plants, but also in even getting its workforce to show up for work at the plants that it has been able to reopen. IPhone production is expected to drop 10% this quarter Market research firm Trendforce cut its iPhone production forecasts for the first quarter of 2020 by nearly 10% on Monday as a result of the coronavirus outbreak.

According to a memorandum acquired by Bloomberg, Apple iPhone manufacturer Foxconn has actually advised its workers to stay clear of returning home after the Chinese New Year expanded break, which was anticipated to upright February10 This, after Foxconn anticipated to resume on February 9.

Apple analyst Ming-Chi Kuo said Foxconn's Shenzhen factories will not open until at least next week, and that 40% to 60% of the workforce will resume normal operations.

"Shenzhen plant has notified employees to return to work tomorrow", said the person who declined to be identified because they are not authorised to speak publicly on the matter.

The coronavirus continues to impact iPhone production, with Foxconn's Chinese plants being severely hit. It did not give further details.

As a part of the control measures to reduce the potential exposure to the virus, the workers at Foxconn's facilities are mandated to wear masks, adhere to a safe dining system, as well as undergo temperature checks.

Foxconn has more than a million employees working in several factories in China alone.

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