Business Insider Edition

Wuhan coronavirus won’t affect iPhone production, according to Apple’s China manufacturer Foxconn

Tyler Sonnemaker , Business Insider US
 Jan 29, 2020, 03:06 PM
SHANGHAI, CHINA - NOVEMBER 06: People visit the Fo
Photo by VCG/VCG via Getty Images
  • The coronavirus outbreak has not impacted Foxconn's production schedules, the company told The Verge on Tuesday.
  • Foxconn, which is based in Taiwan and operates facilities in mainland China, is a major hardware supplier for the tech industry and products like the iPhone.
  • The company told The Verge that it was "closely monitoring" the situation and "applying all recommended health and hygiene practices," but doesn't expect slowdowns.
  • For more stories, visit Business Insider South Africa. 

Foxconn, which manufactures key components of the iPhone and supplies many of the world's largest tech companies, told The Verge on Tuesday that the coronavirus outbreak has not impacted its production schedules.

"We can confirm that we have measures in place to ensure that we can continue to meet all global manufacturing obligations," the company told The Verge, while refusing to comment on specific practices.

Analysts have speculated that Apple, which manufactures nearly all of its iPhones in China, could be significantly impacted by the outbreak, though Foxconn said it's not concerned about any slowdowns.

"Foxconn is closely monitoring the current public health challenge linked to the coronavirus and we are applying all recommended health and hygiene practices to all aspects of our operations in the affected markets. Our facilities in China are following holiday schedules and will continue to do so until all businesses have resumed standard operating hours," the company added, referencing the Chinese government's decision to extend the Lunar New Year holiday in an effort to reduce travel and thus the virus' reach.

Apple has already closed one store in China and restricted store hours in response to the coronavirus spread, CEO Tim Cook told CNBC. He also said the company was "restricting travel to business critical travel," for employees, and told CNBC that this quarter's earnings might be affected by the virus. "There's more uncertainty, it's a very fluid situation," he said.

Foxconn is based in Taiwan, but has more than one million employees in mainland China across a dozen factories, making it by far the country's largest private employer and a major part of the tech industry's supply chain.

As the coronavirus has spread to more than 16 countries, killing 107 people and infecting at least 4,600, China's outsize role in the global economy has begun to have ripple effects. Many companies have already restricted travel or sought to relocate employees and operations out of the country in an attempt to minimise their exposure.

Receive a daily update on your cellphone with all our latest news: click here.

Also from Business Insider South Africa:

  • Indicators
  • JSE Indexes
17.48
-0,48%
21.92
-0,12%
19.64
-0,02%
$1,621.80
0,35%
42946.83
-4,66%
DAILY BUSINESS INSIDER UPDATE

Get the best of our site delivered to your inbox every day.

Sign Up