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Could Foxconn shutdown cause more tech delays?

(Pocket-lint) – A new Covid outbreak has hit the Chinese Shenzhen district where many technology companies and production plants operate. It has therefore been fully locked down by the government, leading to some manufacturers having to shut its factories until at least 20 March.

One of those is Foxconn, the manufacturer famous for making iPhones and other Apple products. It has reportedly halted operations at its Shenzhen sites.

The company (also known as Hon Hai Precision Industry Co) has other sites around the world though, most notably in its homeland of Taiwan. It has already stated that it expects no “major” impact on device numbers as it has temporarily shifted production to its other plants.

That might change if the lockdown in China continues beyond 20 March, however.

Of course, Foxconn is not the only manufacturer in the region. Huawei and Tencent also have their headquarters there, and Epson runs a major production line from Shenzhen.

The region is home to an estimated 17.5 million residents, many of whom work in the technology sector.

Covid cases are said to have doubled in China recently, although it is still relatively minor – just 3,400 new cases have been reported. The lockdown includes the shutting down of bus and subway systems.

Writing by Rik Henderson.




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