Apple supplier reportedly halts iPhone production in India after fire
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Pegatron, the Taiwanese electronics firm that works with Apple (NASDAQ:AAPL), has reportedly halted production at a facility in India on a temporary basis after it incurred a fire last night.
Pegatron has canceled all three shifts at its plant in Tamil Nadu, near the city of Chennai, Reuters reported, citing three sources. The news outlet added that it has not yet told workers when the facility will be back to operations on Tuesday.
Pegatron did not immediately respond to a request for comment from Seeking Alpha, but it did confirm to Reuters that the incident does not pose a "significant" financial or operational impact to the company.
Apple (AAPL) shares were little changed in pre-market trading on Monday.
Late last year, Pegatron started making iPhone units in India. The company is also reportedly discussing opening a second facility in India near Chennai.
Cupertino, California-based Apple (AAPL) has been producing iPhone units in India since 2017, when it started with the iPhone SE.
Both Apple (AAPL) and its manufacturing partners have worked to move production of the tech giant's devices away from China amid the country's COVID-related lockdowns last year and increased disagreements between the U.S. and China.
Indian Prime Minister Narendra Modi has also pushed to increase local manufacturing and narrow the production gap between the world's two most populated countries.
Last year, investment firm J.P. Morgan suggested Apple (AAPL) could shift a quarter of its iPhone production to India by 2025 and expected 5% of its iPhone production this year to move to the country.

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