Apple to Shift Production from China to India and Vietnam

January 28, 2021 4:56 am

Beijing (PingWest)—Apple is moving its production away from China and will switch to plants in India and Vietnam, as part of its efforts to diversify the supply chain, according to Nikkei Asia's report.

iPad production in Vietnam is set to start as early as the middle of 2021, marking the first time that a large number of devices will be built outside of China.

Meanwhile, Apple is increasing iPhone production in India, and as soon as this quarter, factories in the country will begin manufacturing the new iPhone 12 models.

In Southeast Asia, the production of Apple's smart speakers, earphones and computers is growing. Apple suppliers in Vietnam will expand the production capacity of HomePod mini, which is already being manufactured in the country. Last year, Apple also started assembling some of the AirPods Pro in Vietnam.

Foxconn, a key partner, and supplier to Apple, has invested $270 million into building a new factory in Vietnam in order to expand production capacity. 

The Cupertino-based giant is raising production in India as well, which is currently its second-largest production base for iPhones. The report said the company also plans on producing its latest 5G enabled iPhone 12 series in the country within this quarter.