The COVID-19 lockdown in China seems to be taking its toll on Apple iPhone 14 production as the development of at least one iPhone 14 model is three weeks behind schedule.
Apple had also said last month any new lockdowns in China and Taiwan, where many parts and iPhones are produced, could bring new obstacles in terms of supply and demand in the current quarter.
Lockdowns in and around Shanghai began in late March as part of China's strict zero-Covid policy, and the impact on supply chains continues to linger despite an easing of restrictions.
Lockdowns due to China's zero-COVID policy led iPhone assembler Pegatron Corp to suspend operations at its Shanghai and Kunshan plants earlier this year.
Cabinet Office report also revised its view on the world economy downward for the first time in 25 months, saying that recovery appears to be “pausing” in China due to strict Covid-19 restrictions.