iPhone supplier Pegatron halts production after fire broke out

Apple supplier Pegatron has instructed its factory workers not to report for work today, in order to stop the assembly of iPhones for a second straight day at its south India factory where a fire broke out on Sunday. The purpose of the directive was not explained to the employees. Following the fire incident, the company cancelled all shifts on Monday at the factory in the Tamil Nadu state near the city of Chennai. Pegatron has told its factory workers not to report for work on Tuesday, halting the assembly of iPhones for a second straight day.

The fire was quickly brought under control, but there was some damage to the facility. Pegatron has said that it is investigating the cause of the fire and that it is working to resume production as soon as possible. Pegatron is a major supplier of iPhones, and its facility in Chennai accounts for about 10% of Apple's iPhone production in India. The fire at the Pegatron facility could disrupt iPhone production and lead to shortages of iPhones in India.

The facility has a production capacity of about 26,000 iPhones per day, it has been assembling about 8,000-12,000 iPhones per day in recent months, an industry source said. Pegatron declined to comment on the production estimate.Apple did not respond to a request for comment. It is not yet clear how long the Pegatron facility will be closed.

However, Apple is likely to work with other suppliers to ensure that there is a minimal disruption to iPhone production. The fire at the Pegatron facility is a reminder of the risks associated with manufacturing iPhones in India. There have been a number of other incidents at iPhone manufacturing facilities in India in recent years, including fires, explosions, and worker protests.

Apple is under increasing pressure to reduce its reliance on China for iPhone manufacturing. India is one of the countries that Apple is looking to expand its manufacturing operations in. However, the fire at the Pegatron facility is a reminder that there are some challenges associated with manufacturing iPhones in India.