Nikkei Asia: Apple ramps up iPhone and iPad output shift to India, Viet Nam
13:57 | 27/01/2021

VGP – iPad production will begin in Viet Nam as early as the middle of this year, marking the first time that the world's biggest tablet maker will build a significant number of the devices outside of China, according to an article released by Nikkei Asia. 

Apple is also increasing production capacity for smart speakers, earphones and computers in Southeast Asia as part of its ongoing diversification strategy, the sources added.

In Viet Nam, Apple is mobilizing suppliers to expand production capacity for the latest HomePod mini, the affordable version of its voice-activated smart speaker lineup. 

The device has been produced in Viet Nam since it was introduced last year. The Cupertino-based tech giant has already increased local production of its audio-related products, including its various AirPods lineups, sources said.

Apple has relocated some production of the Mac mini, one of its desktop computers, to Malaysia, another person familiar with the matter told Nikkei, and the company is also set to move a part of its MacBook production to Viet Nam this year. 

Key supplier Foxconn, formally traded as Hon Hai Precision Industry, injected US$270 million to set up a subsidiary in Viet Nam late last year, the article highlighted. 

Luxshare Precision Industry, a new iPhone assembler that is also a key supplier of AirPods, is ramping up its capacity in northern Viet Nam for the HomePod mini to solve supply constraints for the popular device, Nikkei learned.

China's Goertek, a key Apple AirPods assembler, asked all of its suppliers to evaluate the feasibility of moving production to Viet Nam as early as late 2018, and was the first Apple supplier to confirm a plan to shift production. 

Its AirPods series, which ship around 90 million units a year, first went into trial production in Viet Nam in the summer of 2019, with mass production following in 2020. 

A portion of production of AirPods Pro, AirPods Max and the HomePod mini were also allocated to Viet Nam last year. 

By Thuy Dung

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