iPad Production Likely Hit By Major Power Outage In China


China is facing a massive power outage in 60 years due to the worst heatwaves wherein temperatures and low rainfall. These have led to dropped hydropower generation, making factories of lithium, metals and fertilizers cease operations or reduce output. As a Foxconn plant located in Sichuan is one of the factories facing the temporary power outage, it could likely hit the impact assembly of the Apple iPad, claims a well-known analyst.

iPad Production Likely Hit By Major Power Outage In China

iPad Production Could Be Hit

As per a Reuters report citing the TF International Securities analyst Ming-Chi Kuo, it has been confirmed that the operations were affected at Foxconn due to the outage but the impact is not huge. Furthermore, he added that the flexible production from the iPad assemblers should help in reducing the impact of the outage.

Kuo noted that though it is difficult to assess potential impacts on production currently, companies have to pay attention to ensure similar incidents do not occur in the next few months and impact the new product shipments of Apple during the peak season. As per another analyst, Susan Zou from Rystad Energy cited by Reuters the power outage could result in increased lithium prices. Also, it could affect the supply chain as the soaring temperature in this specific province of China is not easing anytime soon.

As of now, it remains unclear how this situation in China will affect Apple's plans. We can expect to come across more details on the situation and how it will impact the company's production in the near future with more reports.

iPad Production Likely Hit By Major Power Outage In China

What To Expect From Apple?

Apple is speculated to be working on a slew of new devices that could arrive in the company's peak season. Currently, the next-generation iPad Pro units with MagSafe wireless charging capabilities, two new connectors, upgraded cameras, and the M2 chip could be launched in October. It is likely to arrive with the 10th entry-level ‌iPad‌ with a new design and a USB-C port is expected to be unveiled at an event in the same month. These iPad models are tipped to be launched along with Mac units that will use faster processors than the existing models.

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