Google, Microsoft accelerate shifting production to Vietnam

Google and Microsoft are accelerating efforts to shift production from China to Southeast Asian countries, including Vietnam, amid the worsening novel coronavirus (SARS-CoV-2) outbreak, the Nikkei Asian Review reported.
Hanoi (VNS/VNA) - Google and Microsoft areaccelerating efforts to shift production from China to Southeast Asiancountries, including Vietnam, amid the worsening novel coronavirus (SARS-CoV-2)outbreak, the Nikkei Asian Review reported.

Google is set to begin production of its Pixel 4A with itspartners in northern Vietnam as soon as April.

The company also plans to manufacture its next-generationsmartphone, the Pixel 5, as it is expected to be called, in the second half ofthis year directly from Vietnam, two people with direct knowledge told Nikkei.

Meanwhile, Microsoft is scheduled to start producing itsSurface line, including notebook and desktop computers, in northern Vietnam inthe second quarter of this year at the earliest, another two sources familiarwith the matter said.

Most if not all Google smartphones and Microsoft-builtcomputers have been made in China so far.

The US-China trade war, along with the SARS-CoV-2 outbreak,caused many industries to consider the risks of overreliance on China for manufacturing.

"The unexpected coronavirus hit will definitely pushelectronics builders to further seek production capacity outside their mostcost-effective production base of China," Nikkei quoted a supply chainexecutive as saying.

Microsoft declined to comment. Google did not respond toNikkei's request for comment as of publication./.
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