A fresh report from Reuters indicates that the zero-COVID policy in China could lead to as much as a 30% decline in iPhone production at one Foxconn factory.
China's decision to tighten COVID restrictions in the country could reduce iPhone production in a supplier's main factory by as much as 30% possibly making it hard to find certain models in stock. A source knowledgeable about the situation at Foxconn's main facility in Zhengzhou told
Foxconn's iPhone production at its Zhengzhou facility could drop up to 30% next month says a Reuters source. Just a little over a week ago, Foxconn told Reuters that"Zhengzhou still maintains normal production and has little impact ." The news agency says that the facility employs about 200,000 workers and several workers have left the campus following strict rules imposed to prevent COVID from spreading.
One of the changes made by the company to prevent the spread of COVID on the Zhengzhou campus prevents workers from eating meals together in one dining hall. Meals must now be consumed by workers in the dormitories. China's zero-COVID-19 policies require local areas to take fast action with complete lockdowns available as a response. Some businesses are allowed to stay open providing employees live where they work which is known as the"closed-loop" system.
In Zhengzhou, 264 people have come down with COVID since October 19th although Foxconn will not say whether any of its employees working at the Zhengzhou factory have contracted COVID. As COVID cases rose in Shenzhen earlier this year, Foxconn required employees at the smaller facility to work and eat at the factory in March and July, hoping that this"closed-loop" system would stop the spread of the virus.
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