International

Apple says iPhone production hit by China Covid lockdown

Photo: Hector Retamal / AFP

| By AFP |

Apple warned customers would face longer wait times for iPhones with the holiday season approaching, after Covid restrictions in central China “temporarily impacted” production at the world’s largest factory producing the smartphone.

Foxconn, Apple’s principal subcontractor, locked down its massive factory in Zhengzhou last month after a spike in infections — in line with China’s zero-Covid policy.

In a separate statement Monday, the Taiwanese firm said its fourth quarter earnings this year would take a hit from the coronavirus lockdowns.

Panicking workers last week had fled the site on foot in the wake of allegations of poor conditions at the facility, which employs hundreds of thousands of workers.

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“Covid-19 restrictions have temporarily impacted the primary iPhone 14 Pro and iPhone 14 Pro Max assembly facility located in Zhengzhou, China,” California-based Apple said in a statement late Sunday.

“The facility is currently operating at significantly reduced capacity.”

Despite strong demand for Apple’s products ahead of the holiday season, “we now expect lower iPhone 14 Pro and iPhone 14 Pro Max shipments than we previously anticipated”, it said.

“Customers will experience longer wait times to receive their new products.”

Foxconn is China’s biggest private sector employer, with more than a million people working across the country in about 30 factories and research institutes.

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But Zhengzhou is the Taiwanese company’s crown jewel, churning out iPhones in quantities not seen anywhere else.

“In a normal situation, almost all the iPhone production is happening in Zhengzhou,” Ivan Lam, an analyst with specialist firm Counterpoint, told AFP.

The company was initially “cautiously optimistic” about its fourth quarter earnings, it said.

“But due to the pandemic affecting some of our operations in Zhengzhou, the company will ‘revise down’ the outlook for the fourth quarter,” Foxconn said in a statement.

“Foxconn is now working with the government in (a) concerted effort to stamp out the pandemic and resume production to its full capacity as quickly as possible,” the company said.

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It did not give any statistical projection for how badly it expected earnings to be hit.

“This is a dark sign of the zero-Covid policy in China impacting production for Apple with Foxconn,” Dan Ives, analyst at Wedbush Securities, told AFP.

“It confirms the Street’s fears with Apple this quarter and will be an albatross on the tech market this week.”

‘We are drowning’

Local authorities locked down the area surrounding the factory on Wednesday, but not before reports emerged of a lack of adequate medical care at the plant.

Multiple workers have recounted scenes of chaos and increasing disorganisation at Foxconn’s complex of workshops and dormitories, which form a city-within-a-city near Zhengzhou’s airport.

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“People with fevers are not guaranteed to receive medicine,” a 30-year-old Foxconn worker, who asked to remain anonymous, told AFP.

“We are drowning,” he said.

China is the last major economy wedded to a strategy of extinguishing Covid outbreaks as they emerge, imposing snap lockdowns, mass testing and lengthy quarantines despite the widespread disruption to businesses and international supply chains.

And authorities poured cold water on speculation that the policy could be relaxed Saturday, with National Health Commission (NHC) spokesperson Mi Feng saying that Beijing would “stick unswervingly to… the overall policy of dynamic zero-Covid”.

“At present, China is still facing the dual threat of imported infections and the spread of domestic outbreaks,” Mi said at a press briefing.

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“The disease control situation is as grim and complex as ever,” he said. “We must continue to put people and lives first.”

International

Brazil offers to mediate Colombia-Ecuador tensions, calls for restraint

The government of Brazil has offered to mediate in the ongoing tensions between Colombia and Ecuador, while calling on both nations to exercise restraint.

In a statement released Wednesday, Brazil’s Ministry of Foreign Affairs urged the parties involved to act with moderation and seek a peaceful resolution to the dispute.

“Brazil encourages all sides to act with moderation in order to find a peaceful solution to the controversy. It stands ready to support dialogue efforts aimed at preserving peace and security in the region,” the statement said.

Brazil also expressed “serious concern” over reports of deaths in the border area between Colombia and Ecuador, noting that the circumstances surrounding the incidents have not yet been clarified.

The diplomatic move comes amid rising tensions between the neighboring countries, increasing regional concern over stability and security along their shared border.

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International

U.S. lowers travel advisory for much of Venezuela but keeps high-risk zones under warning

The U.S. Department of State announced on Thursday that it has lowered its travel advisory for much of Venezuela to Level 3 (“Reconsider Travel”), reflecting what it described as improved security conditions in parts of the country.

However, the agency will maintain the highest Level 4 warning (“Do Not Travel”) for several regions, including the states of Táchira, Amazonas, Apure, Aragua and Guárico, as well as rural areas of Bolívar, citing ongoing risks such as crime, kidnapping and terrorism.

The updated advisory marks a shift from December, when the United States raised the alert for Venezuela to Level 4 nationwide, warning of severe security threats.

Despite the partial downgrade, U.S. authorities continue to urge caution, emphasizing that conditions remain volatile in certain areas and that travelers should carefully assess risks before planning any trips to the country.

International

EU lawmakers move to ban AI tools that generate non-consensual nude images

Members of the European Parliament are pushing to ban across the bloc artificial intelligence services that allow users to digitally “undress” people without their consent.

The proposal, adopted on Wednesday at committee level, aims to prohibit applications that generate non-consensual explicit images. Irish lawmaker Michael McNamara, one of the sponsors, said the measure seeks to stop tools that “have caused significant harm for the benefit of a few.”

Dutch MEP Kim van Sparrentak welcomed the move, calling it “a major victory, especially for women and children in Europe.”

The amendment, part of broader EU legislation on artificial intelligence, was approved by the Parliament’s civil liberties and internal market committees. It specifically targets systems that use AI to create or manipulate sexually explicit or intimate images resembling identifiable individuals without their consent.

The proposal will be put to a full vote in the European Parliament on March 26. If adopted, lawmakers and European Union member states will need to agree on a final version before it can take effect.

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Separately, representatives of the 27 EU countries recently backed a Franco-Spanish amendment seeking to ban AI services used to generate non-consensual sexual images or child sexual abuse material.

The initiative follows controversy surrounding a feature introduced in Grok, developed by xAI, which allowed users to create simulated nude images from real photos. The tool sparked widespread criticism and prompted an EU investigation.

In response, xAI restricted image generation features in mid-January to paying subscribers and stated it blocks the creation of sexualized images in jurisdictions where such content is illegal.