The two largest manufacturers of iPhones expands outside China

The two largest contract manufacturers of Apple’s iPhone are expanding production capacity outside China, as the global trade war and a slowing Chinese economy weigh on the sector’s earnings. Foxconn, the Taiwanese group that assembles iPhones and makes everything from smartphones to industrial robots for a range of multinational and Chinese brands, said in filings to the Taiwan Stock Exchange on Saturday it had invested up to $213.5 million into a subsidiary in India since September and acquired land use rights in Vietnam… Pegatron, another group with Taipei headquarters that accounts for about 30 per cent of Apple’s assembly orders, said yesterday it was planning to build production capacity in Indonesia, Vietnam and India… The two companies’ moves are part of attempts throughout the supply chain to diversify beyond China, the hub of global technology manufacturing for 20 years… While Foxconn has plants in both India and Vietnam, it has yet to start handling Apple orders there. Pegatron has so far relied almost entirely on China… Wistron, a third Taiwanese electronics manufacturer, already assembles lower-price iPhones in a plant in India. Foxconn so far only assembles smartphones for Xiaomi, Huawei and Oppo in the country…
 
Kathrin Hille
 

Food4Brains

SUBSCRIBE and RECEIVE your DAILY BRAIN FOOD!