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Foxconn expects to resume full production within weeks following coronavirus scare

(Image credit: Future)

Foxconn has announced that it hopes to resume normal production by the end of the month having shut many facilities due to coronavirus.

Foxconn supplies parts to many leading smartphone companies and is famously the primary assembler of Apple's iPhone devices.

The company has announced that half of its workforce is back to work, having shut down several facilities to help stop the spread of infection, with many workers quarantined right after the lunar new year holidays.

Supply chain disruption

“Prevention of outbreak, resumption of work and production are our top priority,” Foxconn chairman Liu Young-Way said in a statement.

While the company has stated that it did not expect the shutdown to have a significant impact on its supply chain, it noted that it only anticipates a “mild downward revision” from original revenue targets, expected to be around a 15%  drop primarily in consumer and enterprise products. 

“There are still plenty of uncertainties which we cannot quantify the potential impact on the full year," the company added in a statement. "However, AI, semiconductor and 5G are still critical catalysts for the long-term. Therefore, we believe some demands will be pushed out to later of this year.”

Foxconn’s return to its full potential is good news for Apple as well, as any further delay in resuming operations could have impacted the launch of the next iPhone.

Via: Reuters