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Toyota and Foxconn hit as drought leads to record low Yangtze River

Extreme weather in Sichuan province slashes hydropower capacity

Toyota and Apple supplier Foxconn are among the companies that have suspended plant operations in south-west China as the region is buffeted by hydropower shortages caused by droughts and heatwaves.

Sichuan, a province of 84mn people that generates the bulk of its electricity from hydropower, announced it would suspend energy supplies to factories in a number of cities as it braced for a week of weather that was forecast to hit highs of more than 40C, according to a government statement.

Toyota said it had suspended operations in the province from Monday until Saturday, in line with the provincial restrictions. Foxconn, the world’s largest contract electronics manufacturer, also confirmed it had closed its Chengdu plant, which manufactures Apple Watches, iPads and MacBooks. The impact on production was “not significant so far”, the company added.

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