Critical flood in Central China temporarily cut the power at Apple Inc’s (NASDAQ:AAPL) biggest iPhone manufacturing site, the Wall Street Journal reported.
- The damage to the manufacturing hub in Zhengzhou city, Henan province, however, appeared limited.
- Taiwan’s Foxconn Technology Co Ltd (OTC:FXCOF) operates three factories in the city, accounting for over 50% of the global iPhone production.
- However, the factories suffered hours of power blackouts on Tuesday evening.
- Apple is likely to launch its latest iPhones during the fall.
- Foxconn will donate around $15.5 million for the calamity that has claimed at least 25 lives and affected over 1.2 million. Apple will also contribute an undisclosed sum.
- On Wednesday, Foxconn allowed most employees to take time off or work from home while some assembly lines were still running.
- Taipei’s Isaiah Research estimates Apple to produce 130 million-140 million iPhones in the second half of the year, up 8% year-on-year. Of those, 80 million-85 million will be the latest iPhone 13 model.
- Price action: AAPL shares traded lower by 0.83% at $144.93 on the last check Wednesday.
