KEY POINTS

  • Foxlink factory in south India had no water in its fire safety system
  • Not enough staff trained in using fire-fighting equipment: fire service officer
  • Fire has halted production of charging cables at the plant
  • Company says working to resume production; local reports say that could take up to 2 months

Non-functioning fire safety equipment at the factory of Apple supplier Foxlink's factory in India contributed to the size and scale of the fire that gutted production lines at the facility, causing an estimated loss of $12 million, local officials who responded to the scene said.

The facility, located in Tirupati in the southern Indian state of Andhra Pradesh, produced charging cables for Apple's iPhone. There were 450 workers on shift when the fire broke out Monday night, J. Ramanaiah, the District Disaster Response and Fire Officer for Tirupati, told International Business Times.

The massive fire halted production at the factory's production shed, adding to the supply chain worries that have plagued companies like Apple following the pandemic. The company had four production lines at the plant, which was set up in 2020.

The unit of Taiwan's Cheng Uei Precision Industry Co told the Taiwan Stock Exchange on Wednesday that it is looking into the cause of the fire and working to resume production. But local media reports, citing unnamed sources, said restarting production at the facility could take up to two months.

Foxlink did not immediately respond to IBT's emails seeking comment.

But it said in a statement: "The safety and wellbeing of our employees is always our first priority and we followed detailed protocols to evacuate everyone quickly and safely. There were no serious injuries and all employees have returned to their accommodation. We will continue to support our employees as we undertake a thorough review and work to resume production."

Ramanaiah said the factory's safety systems, which include smoke detectors, sprinklers and fire hydrants, were not fully functional. Only the fire extinguishers were functioning. Following the fire, he said officials found that the factory's pump house — an essential component of a building's fire protection system — had no water.

"The management is (to be) held responsible for the maintenance of fire equipment," Ramanaiah said, adding five factory employees suffered from smoke inhalation, but no other serious injuries were reported.

The fire engines took about 40 minutes to reach the site of the fire from the fire station, which is about 14 miles away. Around nine water tankers were required at the scene to bring the fire under control, and Kiran Kumar Reddy, the assistant district fire officer, said, adding 40 firefighters responded to the fire.

Ramanaiah said the damage from the fire could have been significantly less if Foxlink had conducted proper checks on the fire safety equipment installed in the factory.

The lack of water at the facility's fire control pump house added to the delay in bringing the fire under control, Ramanaiah explained. He said the damage "would have been very less" if the company had maintained its fire safety systems properly.

Reddy said a lack of trained staff members also contributed to the spread of the fire.

"As per rules, a lot of equipment is there" at the factory, Reddy said, but he noted that the factory did not have a "sufficient number of trained individuals" who knew how to use them.

He said state regulations mandate that a quarter of the factory's employees should be trained in handling fires.

It is not clear what impact, if any, the fire would have on iPhone's supply chain. Media reports had cited Foxlink as saying on Tuesday that the plant, equipment and inventory are covered by insurance, and the fire has not yet had a significant impact on the company's finances and business.

India is seen as an alternative destination by manufacturing companies rushing out of China that fear supply chain disruptions amid a worsening rivalry between the U.S. and China over trade and Beijing's claims over Taiwan.

Popular analyst Ming-chi Kuo recently said that Apple's long-term goals include having 40% to 45% of iPhones shipped from India. J. P. Morgan analysts also said in September that a quarter of all iPhones will be produced in India by 2025.

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