Dubai Telegraph - Apple says iPhone production hit by China Covid lockdown

EUR -
AED 4.089369
AFN 72.378405
ALL 90.644358
AMD 401.89957
ANG 1.992947
AOA 1022.203491
ARS 1712.47407
AUD 1.584619
AWG 2.004321
AZN 1.894225
BAM 1.95311
BBD 2.241413
BDT 138.0574
BGN 1.94623
BHD 0.420016
BIF 3338.817065
BMD 1.113512
BND 1.425811
BOB 13.238887
BRL 5.94871
BSD 1.112917
BTN 105.7829
BWP 15.395729
BYN 3.274132
BYR 21824.826752
BZD 2.238287
CAD 1.564539
CDF 2577.779558
CHF 0.922672
CLF 0.027802
CLP 1097.766377
CNY 7.425285
CNH 7.420686
COP 3513.808242
CRC 506.080346
CUC 1.113512
CUP 26.710217
CVE 110.113361
CZK 24.335234
DJF 197.892899
DKK 7.474302
DOP 68.25478
DZD 150.64883
EGP 62.465658
ERN 16.702674
ETB 181.037352
FJD 2.508524
FKP 0.834268
GBP 0.836553
GEL 2.887301
GGP 0.834268
GHS 12.971254
GIP 0.834268
GMD 82.399716
GNF 9849.436215
GTQ 8.505211
GYD 233.219877
HKD 8.73507
HNL 29.879316
HRK 7.53369
HTG 145.790539
HUF 366.769541
IDR 20196.705811
ILS 3.36727
IMP 0.834268
INR 105.782541
IQD 1687.146306
IRR 2023258.874966
ISK 136.371861
JEP 0.834268
JMD 177.076146
JOD 0.789512
JPY 175.846863
KES 144.678423
KGS 97.375692
KHR 4543.661256
KMF 491.058927
KPW 1002.160369
KRW 1477.139649
KWD 0.346503
KYD 0.927427
KZT 508.670367
LAK 25048.168425
LBP 99661.512326
LKR 369.990481
LRD 189.200299
LSL 18.561372
LTL 3.28791
LVL 0.673552
LYD 7.148839
MAD 10.962404
MDL 20.099141
MGA 5065.955365
MKD 61.495314
MMK 2338.120113
MNT 4007.981648
MOP 8.992856
MRU 44.710625
MUR 52.691435
MVR 17.204069
MWK 1929.851043
MXN 20.807439
MYR 4.552004
MZN 71.164748
NAD 18.561206
NGN 1494.5107
NIO 40.952868
NOK 10.392183
NPR 169.253399
NZD 1.959235
OMR 0.428146
PAB 1.112952
PEN 3.834151
PGK 4.989129
PHP 71.231386
PKR 307.975483
PLN 4.399037
PYG 6475.08308
QAR 4.057013
RON 5.350086
RSD 117.5334
RUB 89.690132
RWF 1647.1391
SAR 4.176074
SBD 8.980078
SCR 15.389327
SDG 669.774798
SEK 11.07576
SGD 1.426523
SHP 0.834404
SLE 25.555157
SLL 23349.785743
SOS 636.018419
SRD 41.92427
STD 23047.441307
STN 24.46521
SVC 9.738589
SYP 14477.877069
SZL 18.553283
THB 37.608861
TJS 10.238449
TMT 3.89729
TND 3.332611
TOP 2.681068
TRY 55.438849
TTD 7.554427
TWD 36.093254
TZS 2944.787109
UAH 50.805835
UGX 4880.191771
USD 1.113512
UYU 44.618555
UZS 13282.469972
VES 957.547538
VND 28766.457873
VUV 132.221957
WST 3.078558
XAF 655.957
XAG 0.0205
XAU 0.000274392005
XCD 3.009321
XCG 2.00572
XDR 0.78731
XOF 655.957
XPF 119.331742
YER 262.955891
ZAR 18.516694
ZMK 10022.93476
ZMW 22.44379
ZWL 358.550271
SSP 6397.905573
MXV 2.346911
  • CMSC

    -0.1509

    19.45

    -0.78%

  • BCC

    0.5800

    76.02

    +0.76%

  • AZN

    -1.9800

    170.08

    -1.16%

  • BTI

    -0.2700

    59.83

    -0.45%

  • JRI

    0.0300

    10.88

    +0.28%

  • NGG

    -0.0100

    81.76

    -0.01%

  • BCE

    -0.1600

    20.09

    -0.8%

  • BP

    -1.6000

    48.93

    -3.27%

  • GSK

    -0.1600

    50.94

    -0.31%

  • RIO

    2.0200

    85.74

    +2.36%

  • RBGPF

    0.0000

    72.77

    0%

  • RYCEF

    -0.1000

    16

    -0.63%

  • CMSD

    0.0700

    19.69

    +0.36%

  • VOD

    0.0500

    15.75

    +0.32%

  • RELX

    -1.1900

    38.99

    -3.05%

Apple says iPhone production hit by China Covid lockdown
Apple says iPhone production hit by China Covid lockdown / Photo: JUSTIN SULLIVAN - GETTY IMAGES NORTH AMERICA/AFP/File

Apple says iPhone production hit by China Covid lockdown

Apple said Covid restrictions have "temporarily impacted" production at the world's largest iPhone factory in central China, warning that customers will now face longer wait times ahead of the holiday season.

Text size:

Foxconn, Apple's principal subcontractor, locked down its massive factory in Zhengzhou last month after a spike in infections -- in line with China's zero-Covid policy.

In a separate statement Monday, the Taiwanese firm said its fourth quarter earnings this year would take a hit from the coronavirus lockdowns.

Panicking workers last week had fled the site on foot in the wake of allegations of poor conditions at the facility, which employs hundreds of thousands of workers.

"Covid-19 restrictions have temporarily impacted the primary iPhone 14 Pro and iPhone 14 Pro Max assembly facility located in Zhengzhou, China," California-based Apple said in a statement late Sunday.

"The facility is currently operating at significantly reduced capacity."

Despite strong demand for Apple's products ahead of the holiday season, "we now expect lower iPhone 14 Pro and iPhone 14 Pro Max shipments than we previously anticipated", it said.

"Customers will experience longer wait times to receive their new products."

Foxconn is China's biggest private sector employer, with over a million people working across the country in about 30 factories and research institutes.

But Zhengzhou is the Taiwanese company's crown jewel, churning out iPhones in quantities not seen anywhere else.

"In a normal situation, almost all the iPhone production is happening in Zhengzhou," Ivan Lam, an analyst with specialist firm Counterpoint, told AFP.

The company was initially "cautiously optimistic" about its fourth quarter earnings, it said.

"But due to the pandemic affecting some of our operations in Zhengzhou, the company will 'revise down' the outlook for the fourth quarter," Foxconn said in a statement.

"Foxconn is now working with the government in (a) concerted effort to stamp out the pandemic and resume production to its full capacity as quickly as possible," the company said.

It did not give any statistical projection for how badly they expected earnings to be hit.

- 'We are drowning' -

Local authorities locked down the area surrounding the factory on Wednesday, but not before reports emerged of a lack of adequate medical care at the plant.

Multiple workers have recounted scenes of chaos and increasing disorganisation at Foxconn's complex of workshops and dormitories, which form a city-within-a-city near Zhengzhou's airport.

"People with fevers are not guaranteed to receive medicine," another Foxconn worker, a 30-year-old man who also asked to remain anonymous, told AFP.

"We are drowning," he said.

China is the last major economy wedded to a strategy of extinguishing Covid outbreaks as they emerge, imposing snap lockdowns, mass testing and lengthy quarantines despite the widespread disruption to businesses and international supply chains.

And authorities poured cold water on speculation that the policy could be relaxed Saturday, with National Health Commission (NHC) spokesperson Mi Feng saying that Beijing would "stick unswervingly to... the overall policy of dynamic zero-Covid".

"At present, China is still facing the dual threat of imported infections and the spread of domestic outbreaks," Mi said at a press briefing.

"The disease control situation is as grim and complex as ever," he said. "We must continue to put people and lives first."

Y.Chaudhry--DT