NYT: Production of parts of Apple and Google smartphones will be transferred to India and Vietnam
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The American corporations Google and Apple have begun to move the production of their mobile devices from China to other nearby countries due to geopolitical instability, about this informed The New York Times, citing its sources. In particular, Apple plans to move the production of the latest iPhone model to India, and Google of the new Pixels to Vietnam.
While China has long been the “world’s factory” for high-tech electronics, this relocation is necessary due to growing concerns about geopolitical tensions and supply chain disruptions caused by a large number of lockdowns in China due to the pandemic.
According to the publication, companies fear that Google and Apple’s dependence on China will lead to the fact that they will find themselves at the very center of the escalating conflict between the US and China due to the recent visit of US House Speaker Nancy Pelosi to Taiwan.
Previously, the possibility of transferring the production of new iPhones to India was reported by Bloomberg. According to him, this will reduce the production time of new devices from 9 to 6 months.
The new iPhone model is expected to ship from both countries, said Ming-Chi Kuo, an analyst at TF International Securities Group. This will allow the company to diversify its supply chains and build up reserves. At the same time, it is noted that the simultaneous release of devices in two markets this year will not be possible. As a result, immediately after the presentation in September, the new iPhone 14 will be produced only in China until October – November, when production will start in India, the sources said.
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