Apple has asked Foxconn to move part of its production of certain iPad and MacBook models from China to Vietnam to ease the impact of the tension between the United States and China. As reported by Reuters, the move seeks to diversify production after the trade war.
An increasingly diverse supply chain
Apple has long sought a way to diversify the location of its supply chains. Apple already has assembly lines in Vietnam and now we see how the company wants to strengthen them. In the foreground, the trade war between the United States and China remains responsible for this decision, but during the recent pandemic we see that a geographically diverse manufacturing structure is interesting in many other ways.
Foxconn is building assembly lines for Apple’s iPad and MacBook at its plant in northeast Vietnam’s Bac Giang province, which is set to move in the first half of 2021, one person said, refusing to be identified due to the secrecy of the plan. .
The lines will also take some of the production from China, the person said, without explaining how production would change.
“The move was requested by Apple,” the person said. “He wants to diversify production after the trade war.”
At the same time, Apple is also expanding iPhone production to Vietnam, although some vendors are still in testing and approval.
Vietnam is emerging as a major manufacturing and assembly point for many tech companies. Samsung itself already produces half of its phones in the country and it’s an address that appears to be growing. At the same time, some Apple suppliers are also expanding their presence in India, albeit on a somewhat more timid basis for now.