By Bingyan Wang
China-listed Luxshare Precision Industry Co said on Thursday that its cooperation with customers was normal and in line with the previous agenda, in response to media reports that Apple Inc had asked its suppliers to reduce production.
Shares of the Apple supplier rose as much as 3.1% early Thursday after falling by the daily limit of 10% on Wednesday. The benchmark Shenzhen Composite Index was recently 1.4% higher.
Luxshare issued a statement Thursday in response to a recent Taiwanese media report, which it said was misleading by saying the company was the biggest victim in Apple’s request for suppliers to cut production.
Another report from Nikkei Asia on Monday citing unnamed sources said Apple has told its suppliers to manufacture fewer components for its earphones, watches and laptops.
“The cooperation between the company and the existing customers is taking place normally, and the operations are being carried out in an orderly manner according to the work plan,” Luxshare said, adding that there is no no significant business changes in relation to the company mentioned in the media report.
Luxshare is a key player in Apple’s supply chain. It is the world’s largest maker of AirPods and maker of premium iPhone models.
Write to Bingyan Wang at bingyan.wang@wsj.com
(END) Dow Jones Newswires
01-04-23 2247ET
