Volkswagen AG and Foxconn Technology Group are keeping their workers on-site in their factories in Chengdu after the Chinese metropolis locked down its 21 million residents to contain a Covid-19 outbreak.
The German automaker’s factory, jointly operated with local partner China FAW Group Co., entered a so-called “closed loop system” Thursday evening to maintain production, a company representative said Friday without elaborating. Foxconn, the largest assembler of Apple Inc. devices, is also adopting the method at its facility there which makes iPads, according to a person familiar with the decision.
Closed loop, or factory bubble is used by China to ensure the running of economic activities while attempting to control the spread of the pandemic.
Chengdu is the largest city to be locked down after Shanghai was shut down for two months earlier this year.
