DigiTimes report says Google is considering shifting smartphone production from China to Vietnam
DigiTimes quoted a supply chain source as saying that Google is considering transferring orders for new generation smartphones to Vietnam. This move is to avoid risks caused by US-China trade tensions and also the impact of China’s epidemic blockades.
According to DigiTimes, Google originally planned to manufacture smartphones in Vietnam, but changed its decision due to the impact of the epidemic and strong support from China’s supply chain. However, the fact that China imposed blockade orders in response to COVID-19 so far this year has caused Google to reconsider.
Pixel 6 has now become one of Google’s best-selling smartphones with 1.2 million units shipped in the first quarter of 2022.
The Pixel 7 model is in production, but it is expected that because not much has changed with the Pixel 6, it will continue to be assembled in China. In the meantime, Google will move a small number of orders to Vietnam for testing.
The report said that Google’s new smartphone production line in Vietnam will be established after 2023. This factory will be responsible for manufacturing new generation models.
FIH, a subsidiary of Foxconn, is primarily responsible for the production of Google’s Pixel line, while Compal Electronics is handling some of its components. Both FIH and Compal have manufacturing plants in Vietnam and can respond to Google’s requests at any time.