The factories in India have suspended production until at least April 14 following the nationwide lockdown ordered by President by Prime Minister Narendra Modi.
While Foxconn has confirmed to suspend its operations until April 14, a representative from Wistron has also confirmed the shutdown without giving any broad details. Foxconn and Wistron, the two manufacturers for iPhone models in the country, have shut down their production facilities to adhere to the government order.
Foxconn and Wistron are key manufacturing partners to numerous world's largest electronics names. The iPhone 12 was expected to be released this fall, but Asian news site Nikkei says supply chain problems might force the company to push the date back.
Prime Minister Modi's announcement yesterday, March 24 was described as a "surprise", in his address he stated: "For a few days forget what it means to go out".
It is worth remembering that Apple does not have a large market share in India and neighboring countries, with high import tariffs and no chance against cheaper competitors, such as Xiaomi.
As more people hold onto their handsets for longer, the wider smartphone industry is starting to see revenue growth plateau. A final decision could be made around May at the latest, with Apple perhaps hoping to finalize the timeline for launch until work from home is lifted for its employees. They too are likely to be impacted by the government's virus-fighting measures, which are among the strictest that any country has yet imposed against the spread of the coronavirus.
Subscribe now to stay ahead with the most trusted business news source.