Update – The Foxconn factory is at a standstill, Apple production is slowing down

Update: according to several analysts, there would be no delay to fear for the next iPhone deliveries. See details at the end of the article.

The health situation is improving around the world, and yet China is still hit by the virus. While the province of Shenzhen has just announced the implementation of a lockdown, this risks having repercussions well beyond southern China.

Indeed, the Shenzhen area is the cradle of many factories in the Middle Kingdom due to its advantageous economic situation. Among the firms that have set up shop in Shenzhen,there is Foxconn, and therefore indirectly Apple. If the Apple brand does not have a factory per se, it subcontracts the assembly of these products to third-party companies, such as Foxconn, one of Apple's preferred partners.

Big consequences for Apple

In statements released Monday and reported by Nikkei Asia, factories located in Longhua and Guanlan owned by Foxconn have suspended production until further notice. The company's headquarters announced that production would be moved to other factories based in China.

For Apple, the closure of these two factories could have consequences onthe production of the latest Mac Studio, presented last Tuesday. Indeed, Apple's powerful computer should have been built within these factories, their closure will therefore further increase delivery times. Today, they can already wait several weeks for the most advanced configurations.

No return to work before March 20

The shutdown of these two factories could have general consequences for several Apple products includingthe iPhone SEand iPhone 13 recently released by the Apple brand. Far from Cupertino, it is the Hong Kong and Chinese health authorities which seem to decide the economic fate of the apple for the coming weeks.

Political forces in the region have assured that this strict confinement should remain in force at least until March 20. On this date the situation will be reassessed, and new measures may be announced so that work can resume, if the health situation allows it.

Updated March 16, 2021

Specialists from the JP Morgan firmmade reassuring remarks about the situation in Shenzhen. According to them, the impact on iPhone production would be limited. In these times of pandemic, Apple would benefit from deliveries of 90% of maximum production. If you plan to buy an iPhone today or in the coming weeks, the delivery time should be normal or close to normal, therefore.