Analysts predict the worst-case scenario for the Zhengzhou lockdown.

The amount of income that Foxconn Technology Group will lose if its Zhengzhou facility is unable to supply iPhones by the end of the year due to the coronavirus outbreak has been estimated by analysts at Morgan Stanley.

Analysts predict that this might result in a 36% decline in iPhone revenue as well as a 20% decrease in anticipated sales for the current quarter.

Apple says it expects low shipments and delivery delays.

The coronavirus outbreak at Foxconn’s Zhengzhou facilities has been difficult to control, but many factory workers left before the factory shut down, and others were forced to maintain a strict quarantine regime and a closed business operation. Foxconn is a Taiwanese manufacturer best known as an important partner of Apple Inc.

The largest iPhone manufacturer in the world was disrupted by the worker exodus just before the holiday season, so the business was ready to start back up production and raise hourly pay by more than a third to recruit workers.

The quarantine’s extension, which expires on November 9, or the adoption of other harsh measures that could impede or stop assembly lines could be the greatest threats to the resumption of Foxconn production.

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