Apple Shifts Some Production From China to Vietnam

Core Viewpoint - Apple is expanding its manufacturing operations in Vietnam to reduce dependence on China and to enter the smart home market with new devices planned for release in 2026 [1][2][4]. Manufacturing Expansion - Apple is developing new smart home devices, including a smart home port and a tabletop robot, with production primarily based in Vietnam [2][3]. - The company is collaborating with BYD, a Chinese electric vehicle manufacturer, which already produces some iPads for Apple in Vietnam [4]. Supply Chain Strategy - Apple's supply chain is diversifying geographically, with significant production in India for iPhones, Vietnam for Apple Watches and home devices, and Thailand for Macs [5][7]. - The company is adapting its supply chain to navigate trade uncertainties and tariffs, allowing for agile shifts in production between countries as needed [12][15]. Future Product Timeline - The first new smart home device, a home hub, is expected to launch in March 2026, following delays from its original schedule [16][17]. - Apple aims to maintain a strong presence in China while expanding its manufacturing footprint in Southeast Asia to mitigate risks associated with tariffs and geopolitical tensions [10][12].