Apple prepares to divert some iPad production from China to Vietnam

 The problems in China derived from the pandemic are behind this decision.

“Designed in California. Made in China”. The popular phrase that decorates most Apple devices could soon change to "Made in Vietnam." At least when it comes to the iPad. According to Nikkei Asia, Apple is moving some of the iPad production to Vietnam.

The decision is prompted by growing production problems in China stemming from lockdowns due to Covid-19 outbreaks. The lockdowns in the port city of Shanghai have been particularly problematic because they have paralyzed the port and delayed not a few shipments from hundreds of companies.

Shifting part of the production to Vietnam is not exactly a panacea. The Asian country has had its own share of lockdowns due to the pandemic. In fact, the decision to partially move to Vietnam is something that they wanted to start in 2020 and 2021 and on both occasions it had to be postponed due to Covid-19. Rather, it looks like a way to diversify production at various points so that local problems do not seriously disrupt supply.

Vietnam is also no stranger to producing devices for Apple and other electronics companies. The country is one of the main suppliers of AirPods. Some iPhones are produced in India, and Apple recently shifted a small portion of Mac production to its native United States.

The first movements of this transfer reported in Nikkei consist of the accumulation of components such as motherboards or electronic actuators in Vietnam for future use in production plants. Many of these components are the same ones used by the iPhone, and some analysts wonder how this will affect production of both devices in the future. Given that the iPhone is a more important product category for the company, if there are any supply problems, it is likely to affect the iPads first.

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