iPhone Maker Foxconn To Produce Ventilators In US

Apple Inc. (NASDAQ: AAPL) supplier Hon Hai Precision Co. Ltd. (OTC: HNHPF) is planning to make ventilators at its Wisconsin manufacturing plant, the company confirmed Wednesday, as reported by Fortune.

What Happened

Foxconn, as the company is better known, has partnered with medical device company Medtronic PLC (NYSE: MDT) to make the ventilators, which are critical in the fight against the novel coronavirus (COVID-19) pandemic, the latter's CEO had told CNBC's Jim Cramer on Monday.

Ventilators are needed for patients who fall critically ill from the coronavirus and require breathing support.

Other companies, including automakers Tesla Inc. (NASDAQ: TSLA), Ford Motor Company (NYSE: F), and the General Electric Company (NYSE: GS) have said they are making the crucial medical devices.

Foxconn has been making medical masks since the coronavirus outbreak in China in February. The company was reportedly forcing its employees to return to work at the height of the pandemic in the country.

Apple has shut down all its retail stores outside of China due to the pandemic and warned of missing quarterly earnings expectations.

Foxconn in March reported a 25% slump in profit year-on-year in the fourth quarter of 2019 ahead of the pandemic.

Price Action

Foxconn shares closed 0.6% higher at $4.78 in the otc market on Tuesday.

Apple stock closed 1.16% lower at $259.43 per share and traded 0.2% higher in the after-hours session at $260.

Medtronic shares closed 0.48% higher at $94.46 and traded slightly lower in the after-hours session at $94.30.