TAIPEI (Reuters) – The looting of an iPhone manufacturing facility in India has caused up to $ 200 million ($ 7.12 million) in damage, but production facilities have not been badly damaged, Taiwan-based operator Wistron Corp said on Tuesday.
Thousands of contract workers gathered on Saturday at the Wistron base on the outskirts of Bangalore, India’s technology hub, demanding unpaid wages and better working hours.
When police arrived, the crowd turned violent and video from the scene showed armed men with sticks and sticks smashing equipment and destroying cars. In a police report seen by Reuters, Wistron estimated the damage at $ 60 million.
However, in a statement to the Taiwan Stock Exchange on Tuesday, the company said that large manufacturing facilities and warehouses had not been severely damaged, as initially estimated at $ 100-200 million.
The company is doing all it can to get the plant up and running again. Shares of Wistron fell about 2.5% in early trade in Asia, performing well in Taiwan’s broader stock market.
“The company has been cooperating with relevant authorities and police investigations and is in ongoing negotiations with the insurance company,” Wistron added.
Apple Inc. said Monday it was investigating whether Wistron violated supplier guidelines. Apple said it would send staff and auditors to the site and cooperate with police in their investigation. Wistron is one of Apple’s global suppliers.
It has been making iPhones in India for almost four years and its performance is seen as a success story of Prime Minister Narendra Modi’s government looking to increase productivity.
($ 1 = 28.1040 Taiwan Dollars)
Ben Blanchard Report; Additional Report by Twinney Chiu in Hong Kong; Editing by Ana Nicolasi da Costa