Coronavirus iPhone production to be stopped in China

Coronavirus iPhone production to be stopped in China

Business

According to Reuters, the Chinese government has ordered a work stoppage in all the factories of the Foxconn group.

If Tim Cook had assured a few days ago that the Coronavirus would not cause slowdowns in iPhone production in China, Reuters today draws a very different picture. He said the Chinese government has ordered Foxconn, which manages iPhone production in China almost entirely, to cease operations until at least February 10.

The move is aimed at avoiding the gathering of thousands of workers in factories, which could lead to the accelerated spread of the virus in China.

The shutdown of production until February 10 would have little impact on Apple’s business. But an extension of this state could seriously affect the turnover of Apple and its Chinese subcontractor.

“What worries us is a postponement of a week or a month. The impact would be very big, “said the Reuters source.

Apple may not be the only company impacted since most of the tech giants have outsourced their production to China. One thing seems certain today: the Coronavirus will have an impact on the Chinese economy but also on the world.