The production lines are expected to come into operation in Vietnam in 2021.
According to Bloomberg, Apple’s partners have ramped up iPhoneproduction capacity in India, and companies that assemble AirPods have addedsome assembly lines in Vietnam.
Foxconn announced 270 million USD of new investments earlier this week, which aperson familiar with the company’s operations said was for Vietnam.
“This would be done to help Apple diversify production away fromChina and reduce the impact of the US-China trade war. Firms located in Taiwansuch as Foxconn are also concerned about the trade war and are working out waysto move production out of China and into Vietnam, Mexico, and India,” accordingto phonearena.com.
Some AirPods are manufactured in Vietnam and next year, thethird-generation AirPods are expected to be made in the country and releasedduring the first half of the year, it said.
The US and China are still in a trade war. According to silicon.co.uk, duringthe past four years, the US has targeted made-in-China electronics for higher importtariffs, and restrictedsupplies of components produced usingUS technology to Chinese firms it deems anational security risk.
A partialshift to Vietnam would reduce the impact if the trade war worsens, and could behelpful for maintaining output even if the incoming Biden administration easestensions, reported engadget.com./.