By Bingyan Wang
China-listed Luxshare Precision Industry Co. said Thursday that its cooperation with clients was normal and in line with previous agenda, in response to media reports saying that Apple Inc. had asked its suppliers to cut production.
Shares of the Apple supplier rose as much as 3.1% early Thursday after falling by the 10% daily limit 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 in saying that the company was the biggest victim in Apple’s request for suppliers to cut production.
Another report by Nikkei Asia on Monday citing unnamed sources said that Apple told its suppliers to manufacture fewer components for its ear buds, watches and laptops.
“The cooperation between the company and existing customers is taking place normally, and operations are carrying on in an orderly manner in accordance with the work plan,” Luxshare said, adding that there are no significant changes to business in relation to the company mentioned in the media report.
Luxshare is a key player in the Apple supply chain. It is the world’s biggest maker of AirPods and a producer of premium iPhone models.
Write to Bingyan Wang at bingyan.wang@wsj.com
(END) Dow Jones Newswires
January 04, 2023 22:47 ET (03:47 GMT)
Copyright (c) 2023 Dow Jones & Company, Inc.
