Apple and Foxconn are shifting production from China to Vietnam via the US
Source: Pure PC added 28th Nov 2020The US-China trade war is a serious problem for the tech giants. While multi-track superpower disputes have been going on for years, they have intensified recently. The situation is closely monitored by Apple, which is concerned about the situation and is considering diversifying the production of its devices. As a result, the company has entered into talks with Foxconn to move some of the assembly lines outside of China. This is not the first action of this type of giant from Cupertino. Nevertheless, the next step shows that the company is slowly trying to become independent of the production issue from the Chinese company. Exactly what components will the change affect and is it a specific situation?
Apple asked Foxconn to move part of its MacBook and iPad production from China to Vietnam. This is the next step in securing business against the effects of the US-China trade war that the great powers are waging.
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For everyone loses the dispute between the superpowers. It is possible that the tension between the US and China will ease slightly after Joe Biden takes the presidency, but it is not certain. This means that technological giants still have to look for emergency solutions or simply decide to partially withdraw components from production in Chinese factories. As companies there are increasingly recognized as a threat to US national security, Apple has asked Foxconn to move iPad and MacBook production to Vietnam.
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This is a sensible move, but I wouldn’t call it surprising. It turns out that Foxconn is planning multi-billion dollar investments in India. These apply to the assembly lines of Apple iPhone series smartphones. More and more boldly mention is made of similar activities relating to the transfer of some factories to Mexico. If other big players respond to the trade war in a similar way, China could be hurt. Yes, the local economy will not collapse over this, but to claim that the impact will be negligible would not be true.
Source: Reuters