Apple’s iPhone production shift leaves ghost town in China

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Apple supplier Foxconn’s industrial park in Nanning, Guangxi, has been deserted, heavily impacting the local economy, as production of the iPhone is being moved away from China.
The facility, once the centerpiece of Nanning’s economy, now stands empty, while its surrounding streets and residential buildings remain largely vacant, as depicted in a video shared by news channel China Observer last Friday.
Although some nearby apartments are available for occupancy, they have struggled to attract buyers despite offering discounts, as the area has lost its appeal now that most of the facility’s employees having left.
During its heyday a few years ago, the complex boasted a workforce of 50,000 and consumed vast resources to sustain them.
However, with Apple’s strategic decision to shift production away from China, the Nanning complex was among the first to face downsizing as it was deemed under-utilized by Foxconn.
Foxconn, Apple’s primary supplier, has been shifting its production lines to other Asian nations in recent years amid tensions between the U.S. and China.
One of these destinations is India, whose iPhone production has doubled from 2022 to $14 billion last year, accounting for 14% of the Apple’s total iPhone output.
Meanwhile, iPhone production in Zhengzhou, Henan, where the largest iPhone factory is located, plummeted by 60.1% year-on-year to 6.65 million units in the first quarter, citing data from Zhengzhou’s local customs authority.
Questions & Answers
Q.Which specific Apple supplier facility is most affected by the production shift away from China?
Which specific Apple supplier facility is most affected by the production shift away from China?
Apple supplier Foxconn's industrial park in Nanning, Guangxi, has been deserted. This facility, which was once central to Nanning's economy, now stands empty, impacting the local area significantly due to the iPhone production shift.
Q.What was the previous size of the workforce at the Nanning facility during its peak operation?
What was the previous size of the workforce at the Nanning facility during its peak operation?
During its peak a few years ago, the Nanning complex employed a workforce of 50,000 people. These workers consumed vast resources to sustain their operations at the facility.
Q.Which country is emerging as a significant new location for Apple's iPhone production?
Which country is emerging as a significant new location for Apple's iPhone production?
India is emerging as a significant new location for iPhone production. Its iPhone production doubled from 2022 to $14 billion last year, now accounting for 14% of Apple's total iPhone output.
Q.How much did iPhone production decrease in Zhengzhou during the first quarter compared to the previous year?
How much did iPhone production decrease in Zhengzhou during the first quarter compared to the previous year?
iPhone production in Zhengzhou, home to the largest iPhone factory, fell by 60.1% year-on-year to 6.65 million units in the first quarter. This data comes from Zhengzhou's local customs authority.
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