China’s Covid-19 restrictions forced the closure of Disney’s Shanghai resort on Monday, while Apple iPhone production at a large outsourced factory could fall by 30% next month due to restrictive measures against the coronavirus. coronavirus, a source told Reuters.
In Zhengzhou, a Foxconn factory, which makes iPhones and employs about 200,000 people, has been rocked by discontent over stringent measures to contain the spread of Covid-19, with several employees fleeing the facility, prompting nearby cities to draw up plans to isolate migrant workers returning to their hometowns.
“There were so many people on the road, like we were fleeing a famine,” said a 30-year-old Foxconn employee surnamed Yuan, who said he climbed over fences to leave the factory and return to his central Chinese hometown of Hebi. .
A person with direct knowledge of the matter said that iPhone production at the factory could drop as much as 30% in November, and that Taiwan-based Foxconn formally Hon Hai Precision Industry Co Ltd. , is working to increase production at a factory in Shenzhen to compensate.
Foxconn said on Sunday that it was controlling the situation at the Zhengzhou plant and would coordinate back-up production with other factories to reduce any potential impact.
In Shanghai, the city’s Disney Resort abruptly suspended operations on Monday to comply with Covid-19 prevention measures, with all guests at the time of the announcement required to stay until they test negative.
Videos circulating on Twitter-like Weibo, which could not be independently verified, showed people running to the park’s gates, which were already locked. Videos of people fleeing malls and office buildings for fear of being locked up have become commonplace on Chinese social media this year.
The rise in the number of cases across China has led to a tightening of restrictions and local lockdowns, including in parts of cities such as the southern metropolis of Guangzhou, as the economic cost of the Covid zero policy mounts.
Data released on Monday showed that Chinese manufacturing activity unexpectedly fell in October, hampered by slowing global demand and tight domestic Covid-19 restrictions, which affected production, travel and transport in the world’s second-largest economy.
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