Top China chipmaker, Apple suppliers succumb to Covid-19 lockdowns

Slashing outlook: Chefs line up for Covid-19 tests at a hotel during a lockdown in Shanghai. SMIC estimates that a month-long lockdown may spur component shortages and logistics tangles as well as erase 5% of its output in the second quarter. — Reuters

CHINA’s biggest chipmaker and a major iPhone supplier cut their outlooks for the second quarter, joining a growing list of manufacturers warning about the fallout from lockdowns aimed at containing the country’s worst Covid outbreak in two years.

Semiconductor Manufacturing Inter-national Co (SMIC) estimates that a month-long lockdown in Shanghai could spur component shortages and logistics tangles as well as erase roughly 5% of its output in the second quarter.