China has put Shanghai under a tight lockdown since late
March and neighbouring Kunshan has also tightened curbs to control the
country's biggest COVID-19 outbreak since the coronavirus was discovered in
late 2019 in the city of Wuhan.
Global companies, from mobile phone to chip makers, are
highly dependent on China and Southeast Asia for production and have been
diversifying their supply chains after the pandemic caused havoc.
The Taiwanese companies making announcements to the stock
exchange included Asia Electronic Material Co Ltd, which makes parts for
laptops, mobile phones and digital cameras.
It said its plant in Kunshan would be closed until next
Tuesday, adding it was "hard to estimate" the financial impact.
EFUN Technology Co Ltd, which makes parts for liquid crystal
displays, said its plant in nearby Suzhou would also be closed until Tuesday,
and would resume operations when the government gave the go-ahead, though added
it did not foresee a financial impact for the time being.
Chip substrate and printed circuit board maker Unimicron
Technology Corp, which also supplies Apple Inc and Intel, said late on Tuesday
its Kunshan operations closure would also extend to next Tuesday.
It said it was "integrating" its resources and
manufacturing to lessen the impact on customers, adding its two Kunshan
subsidiaries accounted for around 13 percent of consolidated revenue in the
first quarter of this year.
However, some companies said they had applied to continue
operations under a "closed loop" system, with workers isolated
inside, including the Kunshan automotive electronics operations of Wieson
Technologies Co Ltd.
Taiwan's Pegatron Corp, which assembles iPhones for Apple,
said earlier on Tuesday it had suspended operations at its Shanghai and Kunshan
plants due to the government's strict COVID-19 protocols. © Reuters
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