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Vietnam to make Apple Watch and MacBook

asia.nikkei.com

11–20 of 598 posts

Re: Vietnam to make Apple Watch and MacBook

#12

>Apple suppliers Luxshare Precision Industry and Foxconn lol this is a political move, they are just creating Vietnamese shell companies owned by their same Chinese suppliers to get some good PR.

It's probably not even for good PR. As far as I know China has become quite more expensive for manufacturing, so companies switch to other countries like India, Bangladesh, Thailand, and Vietnam.

Re: Vietnam to make Apple Watch and MacBook

#13

>Apple suppliers Luxshare Precision Industry and Foxconn lol this is a political move, they are just creating Vietnamese shell companies owned by their same Chinese suppliers to get some good PR.

Is this a fact (or have other co's done this)? I'm genuinely curious. I assume they'd hire Vietnamese employees though.

Re: Vietnam to make Apple Watch and MacBook

#14

>Apple suppliers Luxshare Precision Industry and Foxconn lol this is a political move, they are just creating Vietnamese shell companies owned by their same Chinese suppliers to get some good PR.

It's a start. What other reasonable moves do you expect to reduce Chinese manufacturing dependency? At Apple scale, you can only make such large transition over multiple years.

Vietnam is a capable developing country that may do a lot manufacturing in the future. Samsung has been working with Vietnamese subsidiaries for a while now, so move by Apple is already proven to be viable.

Re: Vietnam to make Apple Watch and MacBook

#15

>Apple suppliers Luxshare Precision Industry and Foxconn lol this is a political move, they are just creating Vietnamese shell companies owned by their same Chinese suppliers to get some good PR.

It's not a political move. Vietnamese manufacturing is cheaper than Chinese. Chinese labour has gotten expensive over time. EDIT: politics are definitely a welcome side effect, but not the main reason

Why would Apple decide to build in Vietnam after secretly committing $275B to advance Chinese manufacturing? Western political heat seems most logical.

Re: Vietnam to make Apple Watch and MacBook

#16
post #3
post #2

Doesn't seem far enough away or nuclear armed enough to be a very good backup plan.

The main criteria for Apple is how poor and abundant population is.

Not only how poor and abundant the population is.

'Money is the first thing. Morals follow on.' (based on B. Brecht)

From Wikipedia:

Democracy Index 2021: Vietnam 131 / China 148 (Norway 1 - best / Afghanistan 167 worst)

Freedom In The World 2021: Vietnam 167 / China 184 (Finland 1 - best / Syria 194 - worst)

Re: Vietnam to make Apple Watch and MacBook

#18

>Apple suppliers Luxshare Precision Industry and Foxconn lol this is a political move, they are just creating Vietnamese shell companies owned by their same Chinese suppliers to get some good PR.

It's not a political move. Vietnamese manufacturing is cheaper than Chinese. Chinese labour has gotten expensive over time. EDIT: politics are definitely a welcome side effect, but not the main reason

Also Covid-19 lockdowns, and diversified factories is making sense.

Re: Vietnam to make Apple Watch and MacBook

#19
A lot of comments here are criticizing Apple for chasing cheap labor.

Ignoring for a second the fact that this has a lot more to do with geopolitics and hedging geopolitical risk, I think it's important to think more carefully about the impact of companies investing in developing economies.

By and large, the factory work done by people in developing economies is dramatically better in terms of quality of life and safety than the agricultural work that they would be doing without economic development. It would be better if the factories were more often owned domestically (instead of owned by Chinese companies), but the actual workers are not suffering in the short term as a result of Apple bringing jobs. The complete opposite is true.

Re: Vietnam to make Apple Watch and MacBook

#20

>Apple suppliers Luxshare Precision Industry and Foxconn lol this is a political move, they are just creating Vietnamese shell companies owned by their same Chinese suppliers to get some good PR.

It's not a political move. Vietnamese manufacturing is cheaper than Chinese. Chinese labour has gotten expensive over time. EDIT: politics are definitely a welcome side effect, but not the main reason

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