Fri. Mar 29th, 2024

Apple will shift the production of Mac, iPads and iPhones to India and Vietnam and the move has signaled accelerated diversification despite a hope that US President Joe Biden will ease trade tensions with China. Sources said that Apple will start to produce iPads in Vietnam in the middle of 2021 and will start producing its first 5G smartphones, the iPhone 12 series in India within this quarter.

Other productions that will shift their base out of China includes Apple earphones, computers and smart speakers, as stated by the sources and said that it is a part of their ongoing diversification strategy. A report said that Apple has not yet responded to the queries. Also, the production capacity of the voice-activated smart HomePod mini speakers will be expanded at Vietnam where it has been made since the launch in 2020. Local production of other audio devices and AirPods in Southeast Asian country has been increased already.

Apple raises iPhone and iPad production in India and Vietnam - Gizmochina
Image Source : Gizmochina

Part production of MacBook will be shifted to Vietnam later this year and a source said that production of Mac mini has been shifted to Malaysia. A supply chain manager said Nikkei Asia that not just Apple, but other tech companies want production out of China for their core products. This was hard to imagine two years ago but now it is possible. The suppliers of Apple are falling in line to shift to Vietnam, for instance, supplier Foxconn invested $270 million for a subsidiary and the Luxshare Precision Industry is speeding up the production in the country.

A report said that the tech company will produce a large number of devices outside China and India is actually the company’s second largest production base. The shift started in 2020 and there are hopes that President Biden will ease trade tensions and said that the tariff policy imposed by former President Donald Trump will not be instantly reversed.