By 2025, Vietnam will produce 20% of all iPad and Apple Watches

DNHN - A few years ago, Apple started producing some of its products in Vietnam and India, thereby reducing its reliance on China.

According to JP Morgan Chase, India will produce 25% of the world's iPhones and 20% of its iPads, respectively, in the context of a massive global supply chain re-establishment that is now underway.

A few years ago, Apple started producing some of its products in Vietnam and India, thereby reducing its reliance on China. The IT giant is currently preparing to turn these two nations into significant manufacturing centres internationally, according to JP Morgan analysts.

According to technology news site Techcrunch, JP Morgan analysts recently predicted that Apple will shift 5% of the world's iPhone 14 manufacturing to India by the end of this year and increase its capacity there to produce 25% of all iPhones by 2025. By contrast, by 2025, Vietnam will produce 65% of AirPods, 5% of MacBooks, and 20% of all iPad and Apple Watches.

According to a JP Morgan analysis, Vietnam is growing as a hub for the production of parts and electronic manufacturing services (EMS) for small-volume goods like the Apple Watch, Mac, and iPad. It is also starting to produce AirPods.

The research makes the following further forecast: "Mainland China's manufacturing market share will move to local suppliers, while Taiwanese (Chinese) suppliers will gain market share in India. In Vietnam, we anticipate that both Taiwan (China) and Mainland China will have a portion of the market.

Many firms also believed that Vietnam was becoming a hub for small-batch component production and electronic manufacturing services.

In particular, Nikkei Asia had already claimed that Apple will be producing the MacBook and Apple Watch in Vietnam. Currently, Apple works with 3 suppliers who specialize in providing AirPods lines, and 2 of these suppliers have facilities in the province of Bac Giang.

TH