iPhone 14 Production Expected to Drop by 3 Million Units Due to Foxconn Lockdown in China... Red Light for Success

Taiwan TrendForce "Up to 5 Million Units May Decrease in Q1 Next Year"

On the 7th, when Apple's new iPhone 14 series was officially released in Korea, citizens were examining the products at the Apple Store in Myeongdong, Jung-gu, Seoul. Photo by Moon Honam munonam@

[Asia Economy Reporter Moon Chaeseok] As Chinese authorities locked down the Foxconn factory, the world's largest Apple iPhone production plant, causing disruptions in iPhone production, an analysis suggests that Apple's iPhone shipments in the fourth quarter could decrease by approximately 2 to 3 million units.

On the 3rd, Taiwanese market research firm TrendForce stated, "Due to the lockdown in Zhengzhou, Henan Province, China, the iPhone production line's operating rate has dropped to about 70%," adding, "It will be difficult to restore the operating rate to normal levels in the short term."

TrendForce said, "Due to the decline in production line operating rates, the iPhone shipments in the fourth quarter of this year are expected to decrease by 2 to 3 million units from the target of 80 million units," and "Currently, the total iPhone shipments for this year are expected to be about 237 million units."

There is even a possibility that shipments will decrease through the first quarter of next year. This is attributed to the significant impact of China's zero-COVID policy.

TrendForce stated, "iPhone shipments in the first quarter of next year were expected to be 52 million units, but if China continues to enforce the zero-COVID policy, shipments could decrease by 4 to 5 million units," adding, "The decline in iPhone shipments in the first quarter of next year could expand to over 20%." They continued, "Apple plans to shift contract manufacturing to Pegatron and Luxshare to diversify production risks for the iPhone Pro series," and "iPhone shipments from new production lines could begin as early as the first quarter of next year."

On the 2nd, starting at noon, the Chinese government closed the Zhengzhou industrial complex where the Foxconn factory is located for seven days. This measure was taken after the number of COVID-19 cases surged from 95 to 359 in a single day. Subsequently, Foxconn workers began fleeing the factory, increasing the likelihood of reduced production of Apple products such as the iPhone.

Major domestic parts suppliers known to supply Apple are also closely monitoring the situation. An industry official said, "If the situation prolongs, there could be an impact, so we are watching carefully."

This content was produced with the assistance of AI translation services.