Due to the new wave of the coronavirus pandemic in Vietnam, factories are not operating at full capacity, according to industry sources. This will affect the supply of components for Apple, Samsung and other global technology companies.
The rapid spread of the coronavirus has impacted production facilities in the industrial northern provinces of Vietnam. In these regions, components are produced for the Cupertino company and the South Korean smartphone maker, as well as other companies. The country has successfully contained the spread of the coronavirus for most of the past year, but this year the pandemic has hit Vietnam, as has India.
Since the end of April, more than 3,000 people from 30 cities and provinces have fallen ill in Vietnam. This prompted the government to close restaurants and ban meetings in public places in the capital city of Hanoi and the southern downtown area of Ho Chi Minh City. Entrepreneurs complain about financial losses.
A source working at the company responsible for supplying parts for Apple said the company has split personnel into two shifts, calling it “a temporary solution, maybe two weeks.” This was done to prevent further disruption to the supply chain.
Samsung, which makes half of the smartphones and tablets in Vietnam, could be hit hard by recent events.