Apple India Faces Setback As Key Supplier May Not Be At Full Capacity For 2 Months Following Massive Fire

Apple Inc.’s AAPL India supplier Foxlink is unlikely to be at full capacity for two months after a recent fire incident at its South India plant. 

What Happened: Foxlink’s India facility in the state of Andhra Pradesh — where it makes charging cables for iPhones — was engulfed in a massive fire on Monday, leading to a collapse of a part of the facility. 

The incident has caused concerns of supply chain disruptions for the iPhone maker that was already reeling from a production slowdown because of COVID-19 disruptions in China, a source with direct knowledge of the matter told Reuters on Tuesday.

See Also: Apple Anticipates India Production Share To Rise 25% In Attempt To Diversify Base Beyond China

Apple did not immediately respond to Benzinga’s request for comment.

Foxlink operates a total of 10 assembly lines in two separate facilities at the plant, a source told the publication. The source added that four of these facilities were completely damaged and unlikely to resume operations for two months. The remaining six assembly lines are expected to resume operations later this week.

Though the remaining assembly lines were unaffected by the fire, they continue to be inoperative due to damage to IT servers.

Another source told that publication that Foxlink is Apple’s key supplier in India, and “there could be potential supply chain disruptions for iPhones made in India or shipped from India.”

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