China's coronavirus might disrupt Apple's production plans for the iPhone - Business Insider

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China's coronavirus might disrupt Apple's production plans for the iPhone

"The [coronavirus] situation in China could affect the planned production schedule," said the executive.

Apple is reportedly gearing up to start manufacturing a new model of iPhone that's smaller and cheaper than the current generation, with rumors circulating that the new model will have aBut the new more affordable iPhone could be hit by the disruption, with two sources telling Nikkei that although production was meant to start in the third week of February, that could change due to the outbreak.

Apple has also been on a more general production drive according to Nikkei, with industry sources saying 80 million iPhone units have been ordered for the first half of 2020 — up more than 10% from last year. Wuhan, the city where the virus first originated, is currently on lockdown and five more cities in Hubei province have brought in restrictions on gatherings and transport. Nikkei notes that Apple has its main manufacturing centers in neighboring Henan and nearby Guangdong provinces. Henan contains Apple supplierLast week Foxconn CEO Terry Gou

for the Lunar New Year not to return to China. "I advise everyone not to go to the mainland for this coming new year holiday," he said.

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