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1 min read . Updated: 16 Mar 2022, 06:30 PM IST Foxconn said that it has been able to resume production by following local rules that allow businesses to operate if they set up a bubble like environment and keep workers inside
Foxconn Technology Group, Apple Inc.’s biggest iPhone assembler, said it restarted some production at its factories in Shenzhen after a Covid-19 outbreak and a city lockdown this week led the company and other manufacturers to suspend operations there.
Foxconn said Wednesday that it has been able to resume production by following local rules that allow businesses to operate if they set up a bubblelike environment and keep workers inside. Under such pandemic-control rules, staff have to work, travel and live on the factory campus and can’t leave the site, according to the Shenzhen government.
Foxconn’s production sites in Shenzhen produce iPhones, as well as iPads and computers, employing tens of thousands of workers.
Covid-19 outbreaks have resulted in production shutdowns in Chinese industrial hubs such as Shenzhen and Changchun in recent days, further disrupting a global supply chain under strain from the prolonged pandemic and war in Ukraine.
Taiwan-based Foxconn, formally known as Hon Hai Precision Industry Co., suspended operations at its Shenzhen campuses on Monday. Shenzhen went into a one-week lock down, leading to the closure of public premises such as gyms and bars, and a halt to bus and subway services. A large number of residents have been confined to their homes.
Foxconn will work with authorities and monitor the situation, the company said.
A similar arrangement was used when Beijing hosted the Winter Olympics earlier this year. Then, athletic venues and hotels were cordoned off from the public, and athletes and participants were banned from leaving preapproved locations, shuttling among these sites in vehicles.
Separately, Foxconn said on Wednesday that its October-December net profit fell 3.4% from a year earlier to 44.395 billion New Taiwan dollars, or $1.55 billion. Quarterly revenue decreased 5.9% from a year earlier to NT$1.890 trillion.
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