At the beginning of May, Xiaomi, vivo, OPPO, Samsung and other enterprises have been given the Indian government’s re-employment permit, the factory gradually resumed operations, but in order to cooperate with the outbreak prevention and control, the rate of resumption of business is mostly around 20%, the production capacity to restore up to 33%. Unfortunately, “the good times are not long”, in mid-May, Nokia and OPPO’s Indian factories began to come out the news that employees have been diagnosed with new coronal pneumonia, the difficult return to work thus “worse.”
01, a number of mobile phone factory workers confirmed
According tomedia reports, the OPPO plant initially has six workers confirmed, so OPPO immediately shut down, the rest of the plant staff to carry out a health self-examination. A person familiar with the situation told the IT Times that OPPO after self-examination, and then detected a number of staff confirmed infection, the situation is not optimistic.
OPPO’s self-built plant in India
“OPPO is currently in a state of semi-re-work and semi-paralysis. Before the outbreak, opPO’s Indian plant had nearly 10,000 employees, and only 500 have returned to work since they returned to work. Some employees were diagnosed with new coronary pneumonia, were sent to hospital for treatment, and the rest of the staff returned to work according to their personal wishes. Subsequent OPPO needs to continue to recruit to meet the normal operation of the half-work state. The above-mentioned people said.
Almost at the same time, Nokia’s India plant also reported that employees were infected with new coronapneumonia, although the number of confirmed cases has not yet been announced. In late May, Nokia temporarily shut down its equipment production plant in southern India.
Nokia India Plant
Hubei People’s Discipline, which opened Baoying’s electromechanical plant in India and employs 60 people, was also implicated this time. One of the disciplinary’s big customers was “unfortunately” forced to close next door to the Nokia plant. The disciplinary plant was shut down for four days because of the shutdown of large customers, and according to local government requirements, discipline needs to pay employees 500 yuan per person for nucleic acid testing for health self-examination.
02, wage swelteway or difficult to recruit
House leakage is due to overnight rain, because after the resumption of work some workers were diagnosed with new corona pneumonia, and now the difficulty of enterprise recruitment further increased.
“There are multiple pressures on hiring now. One is that because of the ‘sealing of the city’ and the work stoppages, many Indian workers have returned to their countryhouses, and the long distances and traffic closures prevent them from returning to their factories for a while. Second, the urban epidemic is more serious than in the countryside, even if traffic resumes, willing to return to the city to return to work is not many people. In addition, Indian workers lack motivation to work overtime and earn money, and the outbreak makes them less willing to go out to work. Discipline said.
India’s high street stores are awash with ads for Chinese mobile phone brands
Liu Yi (pseudonym) feels the same way, and his Chinese company supplies parts for Indian mobile phone factories. Although the application for the plant’s resumption of work has been approved by the government, the pace of production has been delayed by the smaller number of employees returning.
According to a person familiar with the situation, the outbreak was preceded by nearly 3,000 employees at its Indian plant, with only about 900 currently on the job, and vivo with only 500, and Huawei tried to return to work a few days ago, but the situation for workers is not optimistic.
He was blunt in saying that in order to recruit more workers, he raised the salaries of workers. The original monthly salary of the general workers is equivalent to 900 yuan – 1000 yuan, but now it is raised to 1200 yuan. But it is still difficult to alleviate the difficulties of recruitment.
Local 3C plant in India
“In the early stage of the resumption of work, a Chinese-funded enterprise sought the approval of the local government to start the work, because of the shortage of manpower, the head of the enterprise before and after looking for six intermediary companies to get together the minimum number of people to start work. Discipline recalled.
“Even if the staff come back, the problem of epidemic prevention is still serious, ” Liu added. In a factory, companies can manage employees at a safe distance, but they can’t control them when they leave work. Because the factory does not provide dormitory for employees, it is difficult to do two-point first-line management of employees, which invisibly adds to the uncertainty. “
03, Indian mobile phone shipments or down 60%
The difficulty is not only the lack of people, but also the material.
Chinese companies that currently have factories in India to produce mobile phones rely on China for 80% of their materials. After the outbreak, air capacity was significantly reduced, which affected the local mobile phone industry chain.
According to a person engaged in the logistics industry in India, the current price of air transport in India from the original 18 yuan / kg adjusted to the peak of 60 yuan / kg, up as much as 230%. Shipping prices are relatively stable, the price is 350 yuan / cubic meters, but the shipping time is long, it takes about 23-25 days.
Liu Yi said that many industrial chain upstream and downstream enterprises have entered a semi-stop shutdown state.
In this situation, some companies have time to do “other things”.
The OPPO mobile phone factory in Greater Noida, India, has recently switched to producing masks, becoming the first smartphone brand in India to produce masks locally, according to Indian media reports.
OPPO India Plant
A person close to India’s OPPO told the IT Times that OPPO opened a production line of general surgical masks in India half a month ago, and that the production capacity of the masks has not yet been determined, but the masks are produced primarily for their own use and are distributed to employees’ families in addition to being distributed to employees.
In 2019, shipments in India’s mobile phone market rose 8 percent year-on-year to 148 million units, with Xiaomi, vivo and OPPO in the top three, according to Market Research.
Production and sales of smartphones in India have stalled as a result of the outbreak. Counterpoint Research, a market research firm, predicts the blockade will reduce mobile phone shipments in India by nearly 60 per cent.
Huang Yuxuan, an analyst at Jibang Consulting, believes Xiaomi, Samsung, OPPO and Vivo account for nearly 85% of India’s mobile phone market, a relatively significant impact, although Indian handset production is mainly to meet local demand, the global supply of smart phones will not have much impact.
The text . . . IT Times reporter Li Danxuan
Edited by the kick-up