Foxconn’s factory based in SiChuan, China exploded earlier this evening. This factory is specialised for producing Apple’s iPad2. Foxconn’s spokeman confirmed the news this evening.

The incident happened at around 7pm this evening when it was time for change of shift. Workers heard a big bang and started running out of the factory, covering their nose. According to China media, the vicinity is covered with thick black smoke. The fire brigades are fire fighting.

Chinese media also mentioned that the scene of explosion is on the 3rd floor of the factory. It is suspected to be due to a short circuit but the actual reason is still unknown. They also identified that the fire is at where iPad2 are produced. So far, one worker is injured from the accident.

We suspect there might be some impact on the production levels and it might lead to a temporarily shortage of iPad2 for various markets.