Some Apple suppliers halt production for a few days in China due to energy crisis

Jeet — Tue, 28 Sep 2021 02:44:46 +0000

Some of the contract manufacturers and suppliers of Apple in China have temporarily shut down production for a few days. This is because of the government initiating a crackdown as the country faces an energy crisis.

The move is a part of the Chinese government’s new regulations related to the use of energy in the country. However, the timing is crucial as tech giant Apple has just launched its latest iPhone 13 series smartphones and the backorders are rising as the shipment dates for the new Apple iPhone models keep getting pushed.

While not all the suppliers of Apple are affected, those factories which manufacture parts like motherboards and speakers have to shut down their manufacturing operations for a few days. Analysts claim that the reduction in production due to the power shortage is resulting in a drag on the country’s economic growth.

There’s a shortage of coal and the tougher standards related to emissions, combined with the strong demand from manufacturers have resulted in coal prices surging and it has now hit a record high which is forcing users to ration energy.

Eson Precision Engineering, an affiliate of Foxconn and a key supplier for Apple and Tesla, has suspended its production for a week. On the other hand, Unimicron Technology has stopped production in two cities until the end of the month.

As of now, there’s no information about whether any of these shutdowns will directly impact Apple’s manufacturing plans. Along with the iPhone 13 series, the US-based technology giant has also launched a new iPad, iPad Mini, and Apple Watch Series 7.

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Some Apple suppliers halt production for a few days in China due to energy crisis