China’s strict restrictions
Apple’s iPhone production there will drop by at least 30 percent. This is due to restrictions being imposed in China to control the spread of Covid-19.
The information is confirmed by a source aware and directly involved in this matter. News Reuters and BBC.
The person, who spoke on condition of anonymity. By the former Hon High Precision Industry and the current Foxconn are working to increase production at another factory in Shenzhen. The company employs more than 200,000 workers at its Zhengzhou factory in central China. Restrictions imposed to prevent the spread of the novel coronavirus have had a negative impact on factories.
In a video that has gone viral on local social media in China. Several factory workers have been seen climbing over the fence to escape, according to the published report.
Foxconn workers are trying to walk home after fleeing the perimeter of the factory.
The BBC reported, citing videos circulating on local Chinese social media platforms and its own representative in China. Although the destination is far away. They are not using public transport to avoid being caught by the law and order forces.
This decline in production is expected during the holiday season at the end of the year.
where there is a large demand and market potential for electrical products. The timing is also important for Cupertino’s tech giant Apple. Foxconn said the company is working to control the situation and has taken steps to increase production. However, Apple was contacted but they didn’t respond.
Foxconn is one of Apple’s top manufacturers in terms of iPhone production. The company markets 70 percent of iPhones globally. Fubon Research, a Taipei-based market analyst firm, reported this month that the Taiwanese company.
That made 45 percent of its profits by helping to market the iPhone. The company also manufactures iPhones in India.
Another person familiar with the matter said that despite the lockdown and restrictions,
Many workers are staying at the Zhengzhou factory. Because of this, production continues there. The Chinese government has allowed factories to remain open as long as they operate within a certain closed-loop system. Under this system, the workers will stay and work inside the factory. However, business organizations said. There are several problems in running the program this way.
Foxconn ordered workers at the Zhengzhou factory to eat in the dormitory instead of sitting in the dining room.
At the time, the company said production was at normal levels.
As a result of this decision, the workers in the factory expressed their regrets about their treatment.
And also overall management there on social media.
Foxconn has yet to say anything about treating any workers at the factory for Covid-19. In May, Quanta Computer, another company operating as an Apple supplier in Shanghai. It was hit by worker discontent and protests. The protest started after the spread of the infection of Covid-19 despite having a closed loop system in the factory.
In a recent statement, Foxconn said that the government has agreed to allow the provision of food in the dining hall. Considering the convenience and satisfaction of the workers.
Foxconn also demanded in the statement that it liaises with the government, So to organize orderly transport arrangements for workers who want to return home. Attempts to contact Foxconn for this matter did not get an immediate response.