Apple partner Foxconn was recently asked to move some of its MacBook and iPad production from China to Vietnam as part of reducing trade tensions between China and the US.
Apple has been planning to diversify and spread out its assembly locations outside China. Currently, the AirPods Pro and AirPods are being assembled in Vietnam. The Cupertino-based company is expanding to include iPhone production but has been waiting for the facility to improve its worker conditions.
All of Apple’s major contractors Compal Electronics, Pegatron and Foxconn are believed to be investing in Vietnam as the next location for their production facilities in an effort to diversify supply chains and reduce dependency to China. Furthermore, Apple seeks to minimize concentration risks as well.
Vietnam is trending to be a major assembly and manufacturing hub for tech companies. Korean tech giant Samsung already has half its total smartphone production being done in the country.
