October 5, 2022

Apple Watch goes into mass production in Vietnam

The famous analyst believes that the tech giant will strive to increase the production of the next generation of Apple Watch in the Vietnamese market in the future.

This comes after Luxshare Precision, the key assembler of Apple Watch, which has production lines in China and Vietnam, shipped a large quantity of Apple Watch 7 from the Vietnamese market to other countries.

These operations will help make Luxshare the leading company in the race to develop Apple production lines outside of China.

The expert believed that Luxshare will seek to take full advantage of this for long-term development amid falling dependence on China.

Japanese trade publication Nikkei Asia has revealed that Apple is currently in talks to manufacture Apple Watches and MacBooks in Vietnam for the first time, marking yet another win for the country as the tech giant seeks to diversify its production outside of China.

With this in mind, Apple suppliers Luxshare Precision Industry and Foxconn have already started trial production of the Apple Watch in northern Vietnam with the main aim of producing the device outside of China for the very first time. .

Apple’s shift, coupled with broader US-China tensions, represents a boon for Vietnam as the number of Apple vendors with facilities based in the country doubled from 2018.

In addition, since the outbreak of the COVID-19 pandemic, the company has moved several equipment production lines from China to neighboring countries, including Vietnam.

Previously, other Apple products such as AirPods headphones were sent to the Luxshare factory in the northern province of Bac Giang for production since 2020.

Several other major electronics manufacturers such as Google, Dell and Amazon have also established production facilities in Vietnam as they seek to diversify beyond China.

Along with the nation, Apple has also moved production lines to India and Brazil for certain products. However, the volume of equipment produced in these countries is only able to meet domestic demand and is therefore not sufficient to produce for the entire world market.

Additionally, the analyst pointed out that India’s iPhone 14 manufacturing capacity gap remains huge compared to China, adding that the move is still an important step for Apple in terms of building a iPhone 14 factory. iPhone production outside the Chinese market.

Source: VOV