Apple looks to bump up production in Vietnam

Tech giant Apple is looking to increase production outside of China as COVID-19 lockdowns slow production and demand in the country. Vietnam, together with India, is among the countries short-listed by the giant as alternatives, the Wall Street Journal has reported.

Apple has been reliant on Chinese manufacturing for over a decade, with analysts estimating that 90 percent of its products are made by contract manufacturers in the country. This reliance has made Apple face considerable risks in ensuring stable supply, the journal said.

In the meantime, it added, Apple factories in India have witnessed continuing strong sales.

Vietnam and other Southeast Asian countries are ideal destinations for Apple to expand its supply chain. Vietnam currently houses 31 factories producing and assembling electronic parts and equipment for Apple products, such as cameras and screens.

According to Wall Street Journal, if Apple’s idea becomes true, manufacturing facilities outside China, including those in Vietnam, would become large-scale production centers of the US tech giant./.