iPhone shipments expected to fall with Foxconn plant turmoil

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Due to the unrest at a Foxconn plant in China, iPhone shipments are expected to get tight this month into next month. iPhone shipments can always be sketchy as Apple doesn’t always tend to have enough devices to satisfy demand; I think that’s by design. But I digress.

Estimated reading time: 2 minutes

Foxconn is Apple’s largest supplier and manufacturer for many of its devices and has been for years. With the recent COVID lockdowns in China and reports that Foxconn was not fulfilling its payment obligations to workers, the workforce in its main plant revolted.

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Many workers were isolated at the Foxconn plant as part of its COVID rules, and some claim they were not COVID-positive and were isolated into quarters with those who were. According to Reuters, iPhone shipments from this plant could be down by 30%.

Foxconn Apple iphone-min iPhone shipments

“The worker unrest at Foxconn’s plant in China could weigh on Apple’s November iPhone shipments,” Victoria Scholar, head of investment at Interactive Investor, said, as concerns grow over Apple’s ability to deliver products for the busy holiday period. Shares in Apple have fallen by 2.2% this morning.

“Foxconn on Thursday apologized for a pay-related “technical error” when hiring and later offered 10,000 yuan ($1,400) to protesting new recruits who agreed to resign and leave.”

“The source said more than 20,000 workers, primarily new hires not yet working on production lines, took the money and left. Videos posted on Chinese social media on Friday showed crowds and long lines of luggage-laden workers queuing for buses.”

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Last Updated on November 25, 2022.

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