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Monday, February 6, 2023

Apple is examining to increase the production of products in Vietnam over China

Apple has moved at least some iPad production from China to Vietnam in response to the country's stringent but effective anti-coronavirus measures.

Intending to decrease reliance on China, Apple has its suppliers try making the Apple Watch and MacBook Pro in Vietnam.

In the past, Apple has shifted at least some iPad production from China to Vietnam in response to the country’s stringent but effective coronavirus measures. Half of Apple’s major suppliers in the country were impacted by the COVID lockdowns, and these events coincide with power outages imposed by the local government.

Nikkei Asia reports that manufacturers in Vietnam are testing assembly lines for the Apple Watch and the MacBook Pro.

An anonymous source stated, “AirPods, Apple Watch, HomePod and more… Apple has big plans in Vietnam, apart from iPhone manufacturing.” “MacBook parts are now more modularized, allowing the laptops to be manufactured in locations other than China. However, a further difficulty is how to make it competitively priced.”

The problem with the MacBook Pro’s modular design is that the extensive supply chain needed for assembly has yet to develop in Vietnam.
As a result, both Luxshare and Foxconn are said to be conducting test production of the Apple Watch, suggesting that development has progressed. The Apple Watch may have a leaner supply chain, but its precision manufacturing is said to be essential.

According to reports, if Vietnam can master such precision manufacturing, it will be a major step forward in the country’s efforts to strengthen its technological manufacturing sector.

All of the world’s largest technology companies have been plotting ways to diversify their manufacturing bases away from China. As trade tensions escalated between the United States and China, and China enacted strict but effective Coronavirus lockdown measures, the situation only became more urgent.

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