Vietnam is in the midst of a power shortage after a rise in electricity demand.
Tech companies have been making Vietnam a production hub, with Quanta, BOE, Foxconn, and others expanding rapidly in the region. The Wall Street Journal recently reported how these facilities have been given notices from electrical companies saying that they should consider rolling power cuts to reduce peak time usage.
In one notice, it’s said that there were ‘too many electronics manufacturers’ in the area and that power consumption is ‘simply skyrocketing’. The rise in demand simply outweighs the capacity, which explains the requests. The country is also currently experiencing reduced hydroelectric power generation and high temperatures, which lead to drought.
Foxconn and Apple have yet to release a statement, and WSJ said that the manufacturers have continued with operations so far. Foxconn is believed to be setting up power generators that can go online as soon as next year.
