Many Apple, Tesla suppliers halt production in China amid power pinch (updated)

Concraft Holding Co

27/09/2021 07:04

(Recasts with more companies' production halt, background)
    Sept 27 (Reuters) - Several key Apple  AAPL.O  and Tesla
 TSLA.O  suppliers said they had halted production on Sunday at
some of their Chinese facilities to comply with the country's
tighter energy consumption policy.
    Apple supplier Unimicron Technology Corp  3037.TW  said that
three of its subsidiaries in China had to stop production from
midday on Sept. 26 until midnight on Sept. 30 to "comply with
the local governments' electricity limiting policy". 
    It did not expect a major impact, adding that other
factories would make up production, the company said in a
statement late on Sunday. 
    The temporary stop to production by the companies puts
supply-chain continuity at risk during a peak season for
electronics goods including the latest iPhones.
    Eson Precision Engineering, an affiliate of Foxconn, said it
suspended its production from Sunday until Friday at its
facilities in the Chinese city of Kunshan, Nikkei reported
earlier.
    IPhone speaker component supplier Concraft Holding
 4943.TW , which owns manufacturing facilities in the Chinese
city of Suzhou, said it would suspend production for five days
until noon Thursday and utilize its inventory to support the
demand.
   China's power crunch, caused by tight coal supplies and
toughening emissions standards, has triggered a contraction in
heavy industry across several regions and is dragging on the
country's economic growth rate, analysts said. urn:newsml:reuters.com:*:nL1N2QT03V

 (Reporting by Kanishka Singh in Bengaluru; Editing by Kim
Coghill)
 ((Kanishka.Singh@thomsonreuters.com; +91 8061822801;))