Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Foxconn, Chinese firms refit production lines to make masks amid virus outbreak

Stock MarketsFeb 07, 2020 12:28AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

By Josh Horwitz and Brenda Goh

SHANGHAI (Reuters) - A number of Chinese manufacturers including a subsidiary of Apple Inc (O:AAPL) partner Foxconn (TW:2317) have refitted production lines to make masks and medical clothing, as a deadly coronavirus spreads across China.

The move highlights how private companies are pitching in to alleviate a nationwide shortage of medical gear amid the health crisis, at times expanding beyond their core lines of business.

In a social media post on Thursday, Foxconn - formally Hon Hai Precision Industry Co Ltd - said it has begun trial production of surgical masks at its Longhua Park plant in Shenzhen, and expects to produce 2 million masks daily by the end of the month.

The Taiwanese company said the masks would initially be produced for internal use by its hundreds of thousands of employees, the majority of whom work in factories in mainland China.

SAIC-GM-Wuling Automobile Co Ltd, a joint venture automaker formed by General Motors Co (N:GM) and two Chinese partners, also announced on Thursday via social media that it will set up 14 production lines with the goal of making 1.7 million masks daily.

On Tuesday, Hongdou Group Co Ltd [HONGD.UL], a clothing manufacturer founded in the 1950s, wrote on social media it had refitted a factory to make disposable medical suits.

The company said it intends to produce about 60,000 protective suits a month and will send them to the government for allocation and distribution. Hongdou employs 30,000 people, its website showed.

Apparel peers Zhejiang Giuseppe Garment Co Ltd (SZ:002687) and Jihua Group Corp Ltd (SS:601718) have launched similar initiatives, state media outlets reported this week.

Factories inside and outside of China have worked around the clock to keep up with demand since the outbreak of the virus at the end of last year in the eastern Chinese city of Wuhan in Hubei province. High street pharmacies have posted signs telling customers masks are not in stock.

One Czech mask manufacturer told Reuters in late January that orders had increased 57,000% with in four days.

To cope with the shortage, localities in China have set up rationing systems.

In Shanghai, individuals wanting to obtain masks must provide a neighborhood committee with their ID and phone number, after which they are contacted when they can retrieve a set of masks.

Foxconn, Chinese firms refit production lines to make masks amid virus outbreak
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email