Socialist Republic of Vietnam ‘encourages’ Apple supplier Foxconn to cut power use by 30%

The logo of electronics contract manufacturer Foxconn Technology Group, formally known as Hon Hai Precision Industry, is displayed at its headquarters in Taipei. Photo: Agence France-Presse
The logo of electronics contract manufacturer Foxconn Technology Group, formally known as Hon Hai Precision Industry, is displayed at its headquarters in Taipei. Photo: Agence France-Presse

Officials of the Socialist Republic of Vietnam have called on Apple supplier Foxconn to voluntarily reduce power use by 30% at its assembly plants in the north of the country where there were electricity outages last year, Reuters reports citing “two people familiar with the matter.”

Francesco Guarascio and Ben Blanchard for Reuters:

The request for energy-saving measures, which two other industry sources said was sent to multiple manufacturers, is precautionary and aimed at averting a repeat of last summer when power shortage led to over a billion dollars in lost output.

The request to Foxconn was “an encouragement”, not a requirement and has not had any impact on production, one of the people said.
Vietnam is increasingly welcoming multinational companies, some spreading their risk from traditional manufacturing base China amid rising trade tension with the U.S. Last month, Apple promised further spending in the country where over the past year it has raised its number of suppliers to 35 from 25.

The people did not specify who sent the requests, when the request to Foxconn was sent or for how long the voluntary cut in electricity use would be needed. One person said the request was open-ended.

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MacDailyNews Take: Obviously, cutting power use by nearly a third for any meaningful length of time would negatively impact production in significant fashion.

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6 Comments

    1. Wrong. He can stop giving business to hostile anti-west communist s-holes and repeating the mistake of depending on them like he continues to do in China.

      If he had even a modicum of acumen with regard to operations, he would have done business 101 basics of diversifying (something woke tim drones on about but doesnt practice where it is needed regarding business basics) production and not using hostile sites for production.

      This is business 101 stuff that cook failed and and continues to repeat his mistakes.

      Apple needs a master chef, but all it has is a lousy cook.

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    1. The current US regime has issued an edict outlawing internal combustion engines in the next 10 years. This is just as dictatorial a move as Vietnam’s stupid mandate.

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      1. And hot water heaters, toasters and chargers, and toothbrushes made of plastic, common sense, and washing machines, and Whites, and law & order, and cables, and… and… and…

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