Reuters and Bloomberg have reported that “almost all” of Foxconn’s production in China had been halted due to the coronavirus outbreak. The reports added that the company’s factory in Zhengzhou, which was originally closed for the Chinese New Year holidays, was issued an extension of closure until 10 February.
The halt could substantially affect Apple, who have been relying on Foxconn’s manufacturing plant for the production of its iPhones models. Bloomberg reports that Foxconn’s factory in Zhengzhou (known to locals as “iPhone City”) produces virtually half of the world’s iPhones, with the other half credited to Pegatron Corp.’s assembly site near Shanghai.
A source told Reuters that concerns of the current coronavirus outbreak could further extend the delay of the factory’s reopening, which will likely disrupt Foxconn from fulfilling its shipments. The ability to resume production is only dependent upon approval from central and provincial governments, the source added.
The Wuhan coronavirus outbreak was declared as a global health emergency by the World Health Organisationon 31 January 2020. The virus has infected more than 20,000 people, with 427 reported deaths at this time of writing. The epidemic also recently resulted in the postponement of Taiwan’s annual Taipei Game Awards event.
(Source: Reuters and Bloomberg via The Verge.)
