Sanitary Restrictions Lifted at Foxconn Zhengzhou iPhone Assembly Plant

The ability of Foxconn’s largest facility to assemble the latest iPhone 14 Pro series smartphones for Apple this fall was largely dependent on the Chinese authorities’ policy of imposing sanitary restrictions. According to Reuters With reference to Foxconn’s proprietary information, all existing restrictions have now been lifted and the business is returning to its usual pace of operation.

Image Source: Foxconn

In total, the Zhengzhou manufacturing campus remained relatively isolated from the rest of the world for 56 days, and they were not the easiest for Foxconn. Firstly, the production volumes of the older iPhone models of the current generation have decreased by at least 30%. Some experts estimate quarterly losses in the production of smartphones in this series at 15 or 20 million units. Secondly, the restrictions caused dissatisfaction with the workers, some of whom left the campus, and Foxconn had to allocate additional funds to attract a new workforce.

According to the source, now the enterprise in Zhengzhou expects to restore production volumes by the end of December or the beginning of January. In November, Foxconn’s revenue decreased by 11.4% compared to the same month last year, although there is usually an increase in financial performance at this time of the year due to preparations for the holiday sales season.

Edition The Wall Street Journal also reported that the lifting of sanitary restrictions in Zhengzhou could contribute to the appeal of the founder of Foxconn Terry Gou (Terry Gou) to the Chinese authorities, which he allegedly made in writing the month before last. In the letter, he reportedly pointed to the detriment of the current zero-tolerance policy towards COVID-19 for the economic processes in China and the country’s role in the global supply chain. Representatives of the founder of Foxconn categorically deny this information.

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