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A new bankruptcy is opening at China’s largest iPhone factory. The local government ordered a seven-day lockdown due to a COVID-19 outbreak over the weekend. While Foxconn will pay higher bonuses to retain staff who generate the iPhone 14 Pro models, the Chinese government is implementing a “quiet management” measure.
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According to Reuters, the Zhengzhou airport economic zone imposes this silent control measure, which includes banning all citizens from leaving and allowing approved cars to circulate on the roads in this area.
The restrictions will last until Nov. 9, he said. The lockdown marks a tightening of measures in Zhengzhou, which the previous day lifted the near-lockdown of its nearly 13 million residents. The city reported 358 locally transmitted cases Tuesday, up from 95 the day before.
While Foxconn told the company that “its campus there continues to operate under a ‘closed-loop control system,’ referring to a bubble-like arrangement commonly imposed as part of virus prevention measures in China, where artists sleep, live and work in isolation. of the world at large,” it is unclear exactly how the measures by local authorities will affect Foxconn and the transportation of goods in and out of the complex.
The Zhengzhou factory is the largest iPhone factory in the world and accounts for more than 60-70% of all iPhone production. In recent weeks, BGR has reported on Foxconn’s intention to proceed with producing iPhones despite the COVID-19 outbreak and staff drain due to the disease.
As the holiday season approaches, Apple is looking to meet demand for its flagship iPhone 14 Pro and iPhone 14 Pro Max models. With this new restriction, it is unclear how Foxconn and the Cupertino company will behave.
Currently, Foxconn would redistribute iPhone production elsewhere so that it doesn’t have a broader impact. BGR will continue to report as we learn more about the effects of the seven-day lockdown on the largest iPhone factory city.
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