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Due to a fire, Taiwanese electronics manufacturing company Pegatron has to pause its iPhone assembly operations in India. This pushed the company to cancel all shifts on Monday. Despite this, the company confidently stated that the situation “does not have significant financial or operational impact” for it. (via Reuters)
The fire started Sunday night at Pegatron’s site in Chennai, Tamil Nadu, and reportedly took five hours before the authorities managed to extinguish it. Despite this, a police official described the incident as “minor,” with the company saying that there were “no injuries, no casualties, nor damage to other assets.” However, whether the company’s operations will resume on Tuesday remains unknown.
As Reuters pointed out in its report, Pegatron is one of Apple’s 14 suppliers in India and produces 8,000 to 12,000 iPhones per day (albeit its production capacity is 26,000 iPhones per day). It delivers 10% of Apple’s iPhone production in India, making its presence important for the Cupertino company. With this, its reassuring statement that the spark didn’t affect its business should be a sigh of relief for Apple.
In the coming years, the company’s importance for Apple is expected to grow further through its planned second contract facility in India. It has already started with the production of the iPhone 15 after a recent report revealed that Apple increased its iPhone 15 Pro order for the Taiwanese company.