Tech

Tesla, Apple, Intel: the factories are closing because of the heat wave, still a shortage to come?

Apple, Intel and Tesla are among the major companies that have closed their factories for six days in the Chinese province of Sichuan due to a shortage of electricity linked to the heat wave in the region.

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While the heat wave arrives in waves in France, China is also very affected by the heat, which has forced many factories to close their doors. The lithium battery giant CATL, one of Tesla’s suppliers, is among companies ordered to halt production in the landlocked province of Sichuanaccording to a local media report.

This break, which lasts from August 15 to 20, is part of the province’s efforts to ration electricity as it suffers from a devastating drought and heat wave. 19 cities in the region have seen their factories cease operations, including BOE, one of the Chinese display giants, which supplies panels to Apple for its next iPhone 14.

Factory closures raise fears of longer delivery times

The last time the Chinese factories of major tech players closed due to employee protests last May, Apple had to dramatically extend delivery times for its MacBooks produced at Quanta’s factory in Shanghai. For its part, BOE states that it will have to “make adjustments” and that it expects that there will be “ no major impact on its overall operational performance “.

Analyst Ming-Chi Kuo also announces that the current closures should not impact the arrival of the iPhone 14 at the beginning of September, but it is possible that it is difficult to order all models if the demand is too high.

Flexible production scheduling could mitigate the effects of power cuts in China, but it’s unclear exactly how if iPad supply will be affected if power does not return by August 20. As a reminder, Apple is expected to launch two new iPads at another conference in October.

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