Foxconn plans to reopen world’s largest iPhone factory amid China covid protests
The factory halted production after workers clashed with security officials over China's covid-19 restrictions
The Wall Street Journal China bureau chief Jonathan Cheng reacts to escalating protests in China over COVID lockdowns on 'Varney & Co.'
Foxconn, the supplier of Apple's smartphone devices, says it plans to restore production at the world's largest iPhone factory after halts due to worker protests over COVID-19 restrictions in China.
In October, the central China city of Zhengzhou came to a standstill after thousands of workers stalled production due to the government's strict zero-COVID policies. The protests disrupted supply chains and cost Apple billions over the last few months.
Foxconn announced on Monday that the "epidemic situation" is under control while noting that the company is "making every effort to protect the rights and interests of employees."
"In addition to reallocating production capacity of different factories, we have also started to recruit new employees, and are gradually moving toward the direction of restoring production capacity to normal," the company said in a statement.
CHINA'S FACTORY ACTIVITY DROPS AMID RENEWED COVID-19 RESTRICTIONS
In October, production at the world's biggest Apple iPhone factory in Zhengzhou came to halt when workers began clashing with security officials over COVID-19 restrictions. (AP Photo / AP Newsroom)
"The outlook for the fourth quarter is expected to be roughly in line with market consensus," continued the statement. Foxconn did not specify an exact date for when the factory will return to full production.
According to Reuters, individuals with direct knowledge of the situation inside the company expect full production to resume between late December to early January.
APPLE CEO TIM COOK IGNORES QUESTIONS ON WHETHER HE SUPPORTS PROTESTS IN CHINA
The fallout from the protests has impacted the rollout of the iPhone 14 Pro and Pro max models, with Apple announcing customers will have to wait longer for those models.
Moreover, Apple has also begun rolling out plans to move manufacturing out of China into other countries in Asia, such as Vietnam and India.