China's Xi'an lockdown hits some of the world's largest chipmakers

Two of the world's biggest chipmakers are warning that Covid-19 outbreaks and stringent lockdowns in a major Chinese industrial hub are hampering their operations.

Samsung and Micron said this week that they've had to adjust operations in the northwestern city of Xi'an, which is experiencing one of China's worst community outbreaks of the coronavirus pandemic. Authorities have responded by enacting sweeping measures with an intensity and on a scale rarely seen since Wuhan, the pandemic's original epicenter.

Any slowdown in output from the city risks worsening the global chip shortage, an ongoing crisis that has limited the supply of everything from iPhones to new cars.