Apple may face production issues if China goes into a 2-month COVID-19 lockdown

According to a new report, Apple may shift iPhone and MacBook production to avoid the impact of China’s coronavirus precautions but it will not be able to work around the safeguards if the country goes into a long-term lockdown.

Apple Pegatron Suppliers

Apple suppliers may not be able to sustain a long-term lockdown in China

It was recently reported that key Apple suppliers in China Pegatron, Quanta, and Compal have had to suspend production at their facilities delaying the manufacturing of MacBook and iPhone.

According to Reuters, Pegatron may fall behind productions schedules by 6-10 million iPhones if the lockdown extends to two months. Currently, it is expected that it may not be able to resume production until early May.

Shanghai is about to approach its third week of lockdown and there is no side of a wide re-opening of the city. Sources told the publication that they have been informed about the steps and procedures required to resume production but have not been told any specific date as of right now.

Trendforce research manager Forrest Chen told Reuters that production delays of a few weeks would be manageable. “[However,” if the lockdown lasts longer than two months, there is already no way to recover,” said Chen. “At that point, after lockdown lifts, there would be a shortage for end-users.” Some suppliers may be able to re-route production.

Some suppliers including Unimicron Technology Corp, which h makes printed circuit boards for Apple, told the publication that the impact of lockdown has been minor so far. In addition, the company can rely on other plants in the Hubei province and Taiwan to support production.

Recently, Apple suppliers based in Shanghai and Kunshan halted production at plants in the area including iPad supplier Compal. However, Compal told Reuters that it has not halted production in Kunshan and continues to make PCs for Dell and Lenovo.

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About the Author

Asma is an editor at iThinkDifferent with a strong focus on social media, Apple news, streaming services, guides, mobile gaming, app reviews, and more. When not blogging, Asma loves to play with her cat, draw, and binge on Netflix shows.

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