Update, July 3rd- Foxconn Says Issue Resolved
Foxconn said on Friday that the issue with shipments at the Indian border have been resolved.
Foxconn, a main Apple supplier located in China, and in southern India is reportedly facing the brunt of the India-China dispute.
Reuters reports that the suppliers branch in India is facing issues with tighter resitrctions over shipments from China. Per the report:
Customs officers at Indian ports have held back shipments from China and sought additional clearances after deadly clashes at the disputed Himalayan border last month. The checks have been imposed without any formal order.
In specfic 150 shipments of shipments for Foxconn are currently stuck at the port in the city of Chennai, although they are slowly being let through. An Indian government official said that the tougher restrictions are only temporary and will end soon. One official was quoted as saying that non-Chinese shipments will be given priority.
“We cannot keep checking 100% of shipments forever … Shipments of non-Chinese companies being impacted will be cleared on priority,”
The tension between the two countries reached new heights after a border dispute earlier in June. The encounter left soldiers on both sides dead, leading India to ban Chinese apps from the country. The added consequence of having shipments delayed due to customs is likely to impact Apple’s production in the country, mainly the iPhone SE and AirPods.
Foxconn only within the past few years moved into India under pressure from Apple to diversify its supply chains around the world. Apple is reportedly eyeing heavy investments in India for large scale iPhone production projects in the future.