Apple’s suppliers in Asia are currently in talks to start producing the company’s Apple Watch and MacBook products in Vietnam for the very first time, as reported Nikkei.
The two products mentioned above, in addition to iPhone and iPad, are mainly made in China, but according to the report, Apple is looking to diversify outside of China. Apple’s Chinese supplier Luxshare Precision Industry, alongside Taiwan-based Foxconn, is now testing production of the Apple Watch in northern Vietnam.
Vietnam has already taken over some of China’s manufacturing burden in the past and produces the iPad tablets and AirPods for the Cupertino-based company. As for the Apple Watch, “production of the device would be a win for Vietnam as the country tries to further upgrade its tech manufacturing sector,” the report read.
According to the sources, Apple is also in talks with suppliers to establish test production lines for its HomePod smart speakers in Vietnam, and the same goes for the MacBook, however, when it comes to the MacBook, the Manufacturing cost is an issue.
‘AirPods, Apple Watch, HomePod and more…Apple has big plans in Vietnam, outside of making iPhones,’ source says Nikkei. “MacBook components have become more modular than in the past, making it easier to produce laptops outside of China. But how to make it cost-competitive is another challenge.
Apple first diversified its manufacturing capabilities with Vietnam in 2020 with AirPods, with other big tech giants including Google, Dell and Amazon also setting up production in Vietnam to diversify beyond the China.