Apple closes stores and offices in China

apple

Apple

said Saturday it’ll close its stores and company offices in China until Feb. 9, a big escalation in its response to the coronavirus outbreak gripping China and roiling global markets.


“Out of an abundance of caution and supported the newest advice from leading health experts, we’re closing all our corporate offices, stores and get in touch with centers in China through Feb. 9,” an  spokesman said. “We will still closely monitor things and that we anticipate to reopening our stores as soon as possible.”

An spokesman declined to comment further on how the outbreak was affecting the company’s business. It relies on factories across China to assemble the overwhelming majority of the products it sells round the world.

The Chinese government is requiring many factories to stay closed until Feb. 10, eliminating quite every week of planned production after Lunar New Year .

The company also relies on China for a few fifth of total sales. It operates quite 40 stores in China and reported within the week that it returned to revenue growth in the market behind increased iPhone sales.

Apple’s move to shut stores and offices came but every week after Chief Executive Tim Cook, said during a call with investors that the corporate was closing only one store and reducing hours . On Tuesday, he said the outbreak had affected customer traffic to its retail stores, which Apple has been deep cleaning .

Mr. Cook said Apple took the potential effects of coronavirus on sales, under consideration in its revenue guidance for the present quarter, providing a wider-than-usual range of between $63 billion and $67 billion. “The situation is emerging and we’re still gathering many data points and monitoring it very closely,” he said.

About 10,000 people in China are employed directly by Apple, the corporate said. Indirectly,  says it accounts for 3 million jobs there through its supply chain, which incorporates contract manufacturer Foxconn Technology Co.