Reliable Apple analyst Ming-Chi Kuo is out with a report detailing how the coronavirus outbreak has affected the iPhone 9/iPhone SE 2 production.
He states that Foxconn’s Zhengzhou plant is the one that builds the iPhone 11 and the iPhone 9. This plant was scheduled to resume production on February 2 but that has been delayed by at least a week.
Foxconn’s plant in Shenzhen is in charge of the development of the 2020 iPhones. While the development work did not stop over the Chinese New Year holidays, the plant was shut down and was scheduled to resume production on February 10. However, this has now been delayed by at least a week.
Another key Apple supplier, Pegatron is also facing production outage due to the virus. Pegatron produces the iPhone 11 and will produce the 2020 iPhones at its Shanghai plant. The factory resumed production on February 3. However, Pegatron’s Kushan plant which will produce the iPhone 9 will resume production after at least a few days from its initial scheduled date of February 10.
While the analyst does not take any numbers, he does state that the coronavirus outbreak could lead to delay in the shipment of new products and affect the sales of iPhones negatively. The analyst had previously predicted a 10% decline in iPhone shipments in Q1 2020.
Another report over the weekend claimed that local Chinese authorities have stopped Foxconn from restarting production at its factories due to a high risk of the coronavirus infection. However, Foxconn has refuted such reports via its official WeChat account and noted that it is running its own checks and would restart production once all inspection is done.
For the safety of the factory workers, Foxconn has put in place epidemic prevention and control measures. This includes ensuring that all factory workers wear masks, go through temperature checks, and more. Thousands of workers who had gone home during the Lunar New Year holiday have already returned to resume work despite there being no official announcement from Foxconn.