All manufacturing obligations could be met despite China’s coronavirus: Foxconn

In a statement, Foxconn, formally known as Hon Hai Precision Industry Co Ltd, said it could continue to meet all manufacturing obligations in the wake of the coronavirus outbreak in China.

“We do not comment on our specific production practices, but we can confirm that we have measures in place to ensure that we can continue to meet all global manufacturing obligations,” said Foxconn in a statement.

China’s coronavirus has so far killed 132 in China and affected thousands of people across countries.

To contain its spread, China has extended its Lunar New year Holiday by three days to Feb. 2.

Incidentally, Foxconn has a big facility in Wuhan, the epicenter of the virus outbreak.

Foxconn’s statement also mentions that its plants in China were following holiday schedules and would continue to do so until all businesses have resumed standard operating hours.

Apple, which reported holiday quarter sales and profit above Wall Street expectations on Tuesday, offered a wider-than-normal earnings outlook for the March quarter because of the uncertainty created by the coronavirus.

“The situation is emerging, and we’re still gathering lots of data points and monitoring it very closely,” said Apple’s CEO Tim Cook while adding, Apple has suppliers in the Wuhan area, but has alternatives, as well.

After the Lunar New Year holiday, factories outside the Wuhan area are scheduled to reopen only after February 10, said Cook. Apple has built the delayed restart into its wider revenue forecast.

In a statement, Taiwan’s TSMC, the world’s largest contract chipmaker which has factories in China’s Shanghai and Nanjing, stated, its operations had not been affected. TSMC has asked its staff who had visited Hubei within the last 14 days to stay at home and monitor their health.

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