Intellasia East Asia News – Taiwan’s Foxconn says impact from Chinese lockdowns limited

Taiwanese tech giant Foxconn today said the impact on production from Covid lockdowns in China was “limited” and most of its facilities in the country were operating normally.

Foxconn, also known as Hon Hai, is the world’s largest contract electronics maker and assembles Apple’s iPhones as well as gadgets for many top international brands.

It employs more than one million workers across its vast network of factories in China, where a number of cities are struggling to curb virus outbreaks.

Chair Young Liu said China’s pandemic controls posed challenges for the company but most plants were unaffected as they operated in a bubble with food and accommodation arranged for the workers on-site.

“At present all of our major factories are operating normally except a few. The overall impact is limited,” he said during an investors’ conference.

“Most of our facilities are under the ‘bubble-style’ management and we’ve made a lot of preparations. We believe the impact on us would be limited if the restrictions were to continue in the future.”

Foxconn also today announced better-than-expected first-quarter earnings, which Liu attributed in part to the company being able to “minimise the impact” of the pandemic on the supply chain.

For the January-March period, net profit grew five per cent to TW$29.45 billion (RM4.3 billion), while revenue rose four per cent to more than TW$1.4 trillion from a year earlier.

The firm in March halted operations in the Chinese tech hub of Shenzhen due to Covid restrictions before “fundamental operations” were resumed late that month.

In April, the company said its plant in central China’s Zhengzhou, dubbed “iPhone City”, continued to operate despite a lockdown of the area.

“The pandemic situation can change very quickly, plus there are other uncertainties involving geopolitics and inflation… We are closely monitoring these factors,” Liu said.

https://www.malaymail.com/news/money/2022/05/12/taiwans-foxconn-says-impact-from-chinese-lockdowns-limited/2058553

 

Category: Taiwan


Print This Post

Source link

Latest

Assam Flood Situation Improves; 2 More Die, 9.68 Lakh Affected

The flood situation in Assam continued to improve on...

Kate Middleton and Meghan Markle’s top polo outfits side-by-side

Over the course of their married lives, both Meghan...

Why are UK cinemas banning fans in suits from ‘Minions: The Rise of Gru’

Some young UK fans wearing suits to showings of...

British Prime Minister is grilled by Parliament following the resignation of multiple cabinet officials

British Prime Minister is grilled by Parliament following the...

Intellasia East Asia News – Taiwan sees US trade deal as vital to maintaining its democracy

<!-- --> A top Taiwanese official said on Thursday that the biggest benefit from a proposed trade agreement with the United States would...

Intellasia East Asia News – Japan’s ex-PM Aso likens Russian war in Ukraine to bullying of weak

<!-- --> Former Japanese prime minister Taro Aso on Monday implicitly likened the current Russian invasion of Ukraine to the bullying of weak...

Intellasia East Asia News – Canada diplomats denied access to tycoon Xiao Jianhua’s China trial

<!-- --> Canadian diplomats have been denied access to the trial of dual citizen Xiao Jianhua, according to Ottawa’s embassy in Beijing. ...