The iPhone 14 line that has just been officially released in Indonesia may be rare, which is the impact of the COVID-19 policy in China.
The zero-COVID-19 policy in China has affected many companies, including Apple. The reason is that many factories that produce iPhones in China cannot operate optimally.
"Facilities (iPhone production) are currently operating at greatly reduced capacity," Apple wrote in a statement, without specifying how large the reduction was.
In fact, at the same time, the demand for iPhone 14 Pro and iPhone 14 Pro Max continues to increase.
"We continue to see high demand for the iPhone 14 Pro and iPhone 14 Pro Max. However, we are now expecting lower shipments of the iPhone 14 Pro and iPhone 14 Pro max than we previously anticipated," added Apple.
Apple also said that iPhone 14 consumers would experience delays before being able to receive orders for their cellphones.
Previously reported, the number of iPhone production is threatened to fall by 30% at one of its largest factories in November 2022 due to tightening of COVID-19 regulations in China.
The factory in question is located in Zhengzhou, China, which employs about 200,000 people. As a result of the tightening of the COVID-19 regulations, the factory has left many workers.
Meanwhile, TrendForce estimates that iPhone shipments for next December are expected to decrease by 2-3 million units due to problems at the Zhengzhou factory. They also said that based on their investigation, they found that the factory's production capacity is now only 70%.
Foxconn, the owner of the factory in Zhengzhou, believes that they will immediately maximize production capacity at the plant once conditions allow.
They will also implement a number of new rules to suppress the spread of COVID-19 cases, including rules that prohibit employees from going to places other than dormitories and factories.
Foxconn is also pushing for new hires, especially for employees who leave the factory between October 10 and November 5, and is offering a 500 yuan ($69) bonus if they want to work again. The salary offered is also higher than usual, which is 30 yuan per hour (previously only 17-23 yuan per hour).
It's natural that Foxconn is trying to restore iPhone production capacity, because they are Apple's partners with the highest number of iPhone production. About 70% of iPhones marketed globally come from their factories in China.