COVID lockdown in China threatens the largest factory of tech giant
China has quarantined the area of Zhengzhou for a week, where Foxconn has Apple's largest iPhone plant.
Foxconn Technology has its largest iPhone plant in a region where China has recently imposed a seven-day lockdown. Given that Apple's largest supplier's main plant will be down for a week, this will probably have an impact on shipments.
China imposed a seven-day lockdown on the area around Foxconn Technology Group’s main plant in Zhengzhou
According to the news reported by Bloomberg, the local government announced on WeChat that the quarantine decision will be implemented between 2-9 November. The factory in Zhengzhou, the world's largest iPhone factory with more than 200,000 employees, had been on the news for a week due to the increasing COVID-19 cases.
The government currently prohibits all vehicles, with the exception of those transporting essential supplies, from operating in the lockdown zone. Zhengzhou was put on lockdown after 359 COVID-19 cases increased significantly on Tuesday. This was up from 95 cases from the previous day.
China strictly implements the 'Covid Zero' approach to control pandemic. Shanghai, one of the most important commercial cities of China and the world, with a population of 26 million, was quarantined in April and May of this year. After the quarantine in Shanghai, China grew by 0.4 percent in the second quarter of the year, one of the lowest growth figures in the last 40 years.
In order for Foxconn to continue operating, shipping production materials would even be a challenge. Apple and Foxconn have not released any statements regarding this information at this time.
