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Foxconn working 'at fastest speed' to restore vast China plant hit by Covid
Covid In China: Most of its factories are in China, particularly the eastern city of Zhengzhou where lockdowns were imposed last month.
Taiwanese tech giant Foxconn, a principal Apple subcontractor, said Thursday it was working quickly to resume full production at its giant factory in central China before the crucial holiday season.
Foxconn, also known by its official name Hon Hai Precision Industry, is the world's biggest contract electronics manufacturer assembling gadgets for many international brands.
Most of its factories are in China, particularly the eastern city of Zhengzhou where lockdowns were imposed last month, in line with Beijing's zero-Covid policy, after a spike in infections.
The huge facility of some 200,000 workers -- dubbed "iPhone City" -- has been operating in a "closed loop" bubble.
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Apple said this week the facility was running at "significantly reduced capacity" and warned customers would face longer wait times for the flagship iPhone 14 Pro and iPhone 14 Pro Max iPhones built there.
"With the support of Henan provincial government, we will eliminate the infections at the fastest speed to resume full capacity for production," Foxconn chairman Young Liu said in a call with investors.
The production delays have come just ahead of the crucial Christmas holiday season for Western markets and the lunar new year in late January.
"The fourth quarter and next year are very important," Liu said.
"We will make every effort to adjust our capacity and production to ensure that the demands for the two holidays will not be affected," he said.
Foxconn has already said it was revising down its outlook for the last quarter.
Announcing third quarter figures on Thursday, Foxconn said net income rose five percent to NT$38.8 billion ($1.22 billion), below earlier average estimates of NT$41 billion, according to Bloomberg News.
China is sticking to its strict zero-Covid policy, with harsh lockdowns, quarantines and testing regimens imposed after even the smallest outbreaks.
