Foxconn says new factory suspensions won't affect production

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A pair of Foxconn factories in Kunshan, China, have halted operations following a COVID-19 scare, but the Apple assembly partner insists production output won't be affected.

The plants in Dianfa and Fuhong, located in northern Kunshan, are two of four facilities operated by Foxconn in the city. Operations at both were halted since Wednesday, following the discovery of new COVID-19 cases on-site.

Workers at the factories are confined to on-site dormitories, reports LiveMint, while the situation is rectified at each facility. Operations at each will remain halted, until local authorities allow for a restart.

While the outage could impact production for the major electronics maker, it seems that Foxconn believes it won't be heavily impacted. "As production has previously been deployed to backup factories, the factory's main products are located in an overseas shipping warehouse and inventory levels are still sufficient, the impact on the business is limited," a Foxconn statement to India Express reads.

A report source backed up the statement, saying the affected facilities aren't a major supplier for Apple's products, and that production was able to be shifted to other factories. "We do not see an impact on iPhones," said the source.

China is operating a zero-tolerance approach to the coronavirus, with facilities in the country often being temporarily shut down.

On April 15, officials in Zhengzhou, China implemented lockdowns affecting residents' movements for most purposes. However, while it was based in an area where Foxconn operates its main iPhone factory, the company said the facility wasn't impacted by the measures.