Many factories in China resumed work today after an extended Lunar New Year break, but many Taiwanese IT firms expected a low return rate of workers amid the ongoing coronavirus outbreak, which is showing no signs of abating. Some components firms have even decided to delay further their work resumption to February 25. And it remains uncertain how badly Foxconn's production for Apple will be affeced by the epidemic. For MediaTek, global 5G handset sales will be lower than expected in 2020.
Less than 20% of employees expected to return to work in China: Less than 20% of Chinese factory employees would return to work after an extended Lunar New Year break due to the coronavirus outbreak, and many components plants in China have decided not to restart production until February 25 despite being allowed to resume operations on February 10, according to supply chain sources.
Outbreak impact on Foxconn production for Apple remains uncertain: The impacts of the coronavirus outbreak on Apple's supply chain remains uncertain, but Apple's share prices managed to rally in the US stock market. Investors believed that Apple's major supplier in China, Foxconn Electronics, would be able to restart facilities throughout China as scheduled on February 10, maket observers said.
MediaTek slightly lowers global 5G handset sales projection for 2020: MediaTek has adjusted downward its 2020 projection for the world's 5G handset shipments to 170-200 million units from over 200 million due to the coronavirus outbreak, with the Chinese market to absorb 100-120 million units for a global market share of over 60%.
