On December 3, Wall Street Journal quoted people familiar with the matter and said that in recent weeks, Apple has accelerated plans to transfer part of its production outside China.
people also said that Apple is telling suppliers that it is more active in assembling Apple products in other Asian countries, especially India and Vietnam, and hopes to reduce its dependence on Taiwanese-foxconn assemblers led by Foxconn .
people involved in Apple's supply chain said that one of Apple's other measures to respond is to increase cooperative assembly companies, even companies headquartered in China. They said that two Chinese companies, Luxshare Precision and Wingtech Technology , are ready to receive more orders from Apple.
After the Foxconn Zhengzhou turmoil, Apple is no longer willing to bundle so many businesses in one place.
According to market research company Counterpoint Research, the world's largest Apple mobile phone manufacturing base, Foxconn, Zhengzhou factory, accounts for about 85% of the production of iPhone Pro series products.
xingyuan Observation believes that Apple's supply chain will basically take two steps in the future, first, Apple will distribute the Apple series production lines of Foxconn's largest OEM factory to other factories for production. On December 3, Hon Hai issued an announcement stating that the company increased its capital in Czech subsidiary Foxteq CZ s.r.o through subsidiaries' investment conversion method, Foxteq CZ s.r.o, and increased its capital in Taiyuan Fuchi Technology by RMB 1 billion through Foxconn Precision Electronics (Taiyuan), expanding its production capacity in Europe and China.
Second, Apple reduces orders from foundries led by Taiwan-foxconn. people involved in Apple's supply chain said that one of Apple's responses is to increase cooperative assembly companies, even companies headquartered in China. They said that two Chinese companies, Luxshare Precision and Wingtech Technology, are ready to receive more orders from Apple.
analyst Ming-chi Kuo, an analyst at Tianfeng International Securities who is following the Apple supply chain, said that Apple's long-term goal is to ship 40% to 45% of iPhone from India, and the current proportion is only single digits. The supplier said Vietnam is expected to undertake more manufacturing tasks for Apple's other products, such as AirPods, smartwatches and laptops.
Former U.S. executive Alan Yeung, Foxconn, said, "In the past, free trade was the norm and events were very predictable. Now we have entered a new world."
