Covid crisis in China: Tech giant Apple announced on Sunday that due to Covid restrictions, it has temporarily reduced production of the iPhone 14 at its Chinese assembly plant. Apple has stated that it will ship fewer units, causing customers to wait longer.
This means that iPhone 14 shipments may be impacted before the Christmas shopping season. The move will have a significant impact on Apple’s quarterly sales and will make it more difficult for consumers to obtain Apple’s high-end models.
Apple stated in a press release, “We continue to see strong demand for the iPhone 14 Pro and iPhone 14 Pro Max models. However, we now anticipate that shipments of the iPhone 14 Pro and iPhone 14 Pro Max will be lower than previously anticipated, and customers will have to wait longer to receive their new products.”
Covid lockdown in Zhengzhou
The iPhone 14 Pro assembly plant is in Zhengzhou, a mega-factory owned by Taiwanese conglomerate Foxconn. This plant is a major supplier for Apple, but it is currently closed in China due to Covid.
Apple stated that the Zhengzhou plant is the primary location for producing the Pro model, but that we must work closely with the supplier to return to normal production levels while ensuring the health and safety of all employees.
The Covid-19 restrictions have had a significant impact on China. Hundreds of thousands of people work in Zhengzhou to produce the iPhone and other electronics.
Plant managers abruptly announced in early October that 3,000 workers were being quarantined at the factory after someone contracted the virus. Meanwhile, Foxconn has stated that it will face a lengthy battle with Covid.
Reports of workers fleeing the plant
On Wednesday, local authorities closed the area around the factory, but there had previously been reports of workers fleeing on foot and a lack of adequate medical care at the plant.
