Majority of Apple Watch will be manufactured in Vietnam

The famous analyst believes that the company will boost the output of the next generation of Apple Watch in Vietnam.

According to analyst Ming-Chi Kuo of TF International Securities, Apple Watch has been mass-produced in Vietnam. Luxshare, Apple’s main partner and owns many manufacturing factories in many countries, has shipped a large number of Apple Watch 7 from Vietnam to other countries.

Experts estimate that the upcoming Apple Watch 8 Series “made in Vietnam” will also increase sharply by 60-70%. This will make Luxshare the leading company in the race to build Apple product production lines outside the territory of billions of people.

Therefore, this component manufacturer will take advantage of long-term development amid the trend of reducing dependence on China, said Ming-Chi Kuo.

Earlier, a source from Nikkei revealed that Apple is in talks to produce Apple Watch and MacBook in Vietnam. This is the effort of the American technology giant, moving the production line from China to Southeast Asia.

Specifically, Luxshare and Foxconn, Apple’s two assembly partners, are testing the production of Apple Watch in factories located in the northern provinces. This is the first time that the above-mentioned technological equipment is processed outside of China.

Nikkei assesses Vietnam as a country benefiting from US-China tensions. The number of Apple’s production partners in Vietnam has nearly doubled compared to 2018.

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In addition, since Covid-19 appeared, Apple has moved many equipment production lines from China to neighboring countries, especially Vietnam. Previously, some other Apple products such as AirPods headphones were delivered to Luxshare factory in Bac Giang for production from 2020.

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Many large electronic manufacturers such as Google, Dell, Amazon also set up production lines in Vietnam to reduce dependence on China.

According to 9to5mac, US-China tensions are increasing recently, affecting a series of technology companies that depend on production lines in the country of billions of people.

A source close to Apple said that Apple has warned its partners about this situation, and has plans to move the supply chain to many other countries.

Apple Watch Viet Nam anh 2

Apple Watch Viet Nam anh 2

Apple is trying to reduce its dependence on China by expanding production lines to Southeast Asian countries, especially Vietnam. Photo: Reuters.

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In addition to Vietnam, Apple also moved production lines to India and Brazil with some product lines. However, the amount of equipment produced in these countries can only meet domestic demand, not enough to produce for the global market.

In addition, Kuo also said that in the near future, iPhone 14 capacity in India is still a significant gap with China. “But this is an important milestone for Apple in building an iPhone production site outside of China,” he asserted.

@ Zing News

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