Apple supplier Foxlink's fire safety systems mostly faulty, official says

The factory, which makes charging cables for iPhones, is located in the Chittoor district of India's Andhra Pradesh state and is unlikely to resume full operations for two months, raising supply chain concerns for the US tech giant, Reuters reported earlier in the day.

Foxlink was engulfed in a massive fire on Monday that led part of the building to collapse. There were no casualties.

Except for fire extinguishers, safety systems such as smoke detectors, sprinklers and fire hydrants were in faulty condition, leading to a slower response in containing the fire, said J Ramanaiah, who leads the Fire Services Department in the region.

"The smoke detector was not activated and fire alarms didn't go off," Ramanaiah added.

Apple and Foxlink did not immediately respond to requests for comment. The cause of the fire is still being investigated.

Foxlink (2392.TW) operates a total of 10 assembly lines in two separate facilities at the plant in Andhra, of which four were completely destroyed, one source with knowledge of the situation said. Production at the remaining six assembly lines is expected to resume later this week.

A second source familiar with the developments said that Foxlink was a key supplier for Apple in India, and "there could be potential supply chain disruptions for iPhones made in India, or shipped from India".

Foxlink also exports charging cables and some other equipment to countries such as China and Hong Kong, with total exports worth $32.2 million since 2022, according to figures from a private customs data provider.

Its Indian sales numbers were not immediately clear.

The incident is the latest problem to hit Apple suppliers in India, from where it is increasingly ramping up manufacturing and exports. Apple has 11 suppliers in the country.