UPDATE 3/16: We weren't expecting any manufacturing to resume in Shenzhen until March 20 at the earliest, but Foxconn has resumed production already, albeit only partially.
As CBS reports, some of Foxconn's campuses have both production facilities and employee housing on the same site. The lockdown rules allow for such "closed loop" areas to reopen and therefore work can continue.
As Foxconn explained to CBS: "In applying this closed-loop management process within the Shenzhen campus and in implementing the required health measures for the employees who live on campus, some operations have been able to restart and some production is being carried out at those campuses."
For everyone else, the lockdown continues to be in effect and won't lift before Sunday.
Original Story 3/14:If the chip shortages weren't bad enough already, they look likely to get worse following a spike in COVID-19 cases across Shenzhen and Shanghai.
As Nikkei reports, the Chinese government has ordered all nonessential businesses to suspend operations from today until March 20 as part of a lockdown. Shenzhen is home to Huawei, and Oppo, and counts as Foxconn's second-largest manufacturing hub in China. They must all now put down tools for the next six days at least. That's bad news for some of the biggest tech companies in the world including Apple, Amazon, Intel, Nvidia, and Samsung.
Other manufacturers affected by the lockdown include General Interface Solution (GIS) Holding (which produces touch panels for Apple and Samsung), and Unimicron (printed circuit boards for Apple, Intel, and Nvidia). GEM Services, which handles power management chip packaging and testing, must also shut down; countless other small manufacturers are likely impacted by this action, too.
Ultimately, shutting manufacturing for a week will have an impact on the supply chain, but on the flip side, such a quick and severe response should allow it to resume more quickly than would otherwise be possible. Meanwhile, local residents are being told not to travel and local bus services are being stopped. However, markets, pharmacies, and medical institutions can continue to operate while restaurants are limited to deliveries only.
Editors' Note: An earlier version of this story said that TCL stopped production. While it is headquartered in Shenzhen, its manufacturing sites are in Huizhou and unaffected by this shutdown.