Robert Besser
28 Nov 2022, 20:25 GMT+10
TAIPEI, Taiwan: After thousands of employees quit, Foxconn's flagship Zhengzhou iPhone plant in China anticipates a reduction in November shipments, according to media reports.
Dissatisfied over strict Covid restrictions, workers at the Foxconn plat have quit, disrupting iPhone production before Christmas and January's Lunar New Year holiday, after some workers were either put into isolation or fled the plant.
Additionally, local media reported that Foxconn workers clashed with security personnel.
Factory officials have said that more than 30 percent of the factory's November production could be affected by the unrest.
The factory is currently Apple's only site that makes premium iPhone models, including the iPhone 14 Pro. Further, it is believed that the factory is unlikely to resume full production by the end of November.
"The worker unrest at Foxconn's plant in China could weigh on Apple's November iPhone shipments," Victoria Scholar of Interactive Investor said, as reported by Reuters.
"Apple is still viewed as one of the more resilient stocks in the tech sector... However, Apple continues to hold off from providing official guidance given the macroeconomic uncertainty," Scholar added.
Meanwhile, U.S. retailer Best Buy said last week that it expected high-end iPhones to be in short supply at stores this holiday season.
Media reports detailed how Foxconn's Zhengzhou iPhone factory saw workers smashing surveillance cameras and windows, which was confirmed with footage uploaded on social media.
Meanwhile, KGI Securities analyst Christine Wang said if the protests continued through December, some 10 million iPhones will not ship, which would be 12 percent lower than iPhone shipments in the last quarter of 2022.
The Zhengzhou plant, employs more than 200,000 workers. It has dormitories, restaurants, basketball courts and a football pitch, on an area of 15 million-square-feet.
Get a daily dose of Maryland Leader news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Maryland Leader.
More InformationPRAGUE, Czech Republic: Ahead of her visit to Taipei, Marketa Pekarova Adamova, Speaker of the Czech Lower House, reiterated to ...
TRENTON, New Jersey: A federal judge has blocked a New Jersey law allowing the state's attorney-general to sue gun manufacturers ...
WASHINGTON D.C.: The Biden administration said this week that it will end US COVID-19 emergency declarations on 11th May, nearly ...
WASHINGTON D.C.: In a letter to lawmakers last week, the US Federal Aviation Administration (FAA) said it had put in ...
WASHINGTON D.C.: The Biden administration has stopped issuing export licenses to US companies seeking to ship most items to China's ...
Nearly a year in, the war in Ukraine has cost tens of thousands of lives and brought the world to ...
TOKYO, Japan: Honda has announced that it will manufacture a new hydrogen fuel cell system, which was jointly developed with ...
IRVINE, California: In an effort to cut costs in preparation for an industry-wide price war, electric vehicle manufacturer Rivian Automotive, ...
SANTA CLARA, California: One week after Intel forecasted lower-than-expected sales caused by a loss of market share to rivals and ...
WASHINGTON D.C.: As part of a wider policy drive to increase competition in consumer markets, President Joe Biden has announced ...
OSLO, Norway: Ending a three-year run of profits as stock and bond prices were hit by rising inflation and Russia's ...
NEW YORK, New York - Strong economic data failed to stem profit-taking on the major U.S. bourses on Friday, while ...