Beijing's strict zero- Covid measures have caused global supply chains to feel the pinch, and that's why the operations of two subsidiaries in the Chinese cities of Kunshan and Shanghai have been halted.
The biggest Covid-19 outbreak since the virus surfaced more than two years ago has been centered in the business hub of Shanghai.
The city of 25 million has been locked down since the beginning of the month.
In a filing to the Taiwan Stock Exchange on Tuesday, Pegatron said that they had temporarily suspended work.
The Taiwanese firm said it would try to resume operations as soon as possible.
Two of its subsidiaries are in Kunshan city.
The world's busiest container port and a critical gateway for foreign trade have been strained by stay-at- home orders and strict testing rules.
The majority of the local virus cases in China were in Shanghai.
Many factories have been forced to stop operations because of the surge in virus cases, while some staff have been living in their workplace.
The suspension of Pegatron is the latest blow to Apple, which has seen disruptions at other suppliers in recent months.
In March, another major supplier stopped operations in Shenzhen.
In late March, the company said it had resumed fundamental operations in Shenzhen.
The flow of goods across the country has been difficult due to the tough virus.
The blocking of road transportation was banned by a Transport Ministry circular.
Agricultural workers are allowed to return to farmland on charter buses in areas that have been hit by the virus, because they are anxious about the spring farming season and food supplies.
The Chinese economy has been facing a rising risk of recession since mid-March due to severe disruptions to the delivery of exports, with coastal areas hit hard by controls to rein in the virus.