COVID-19 Delays Big Tech From Moving Production Out Of China

Share post:

COVID-19 has forced the government to tighten border controls, ultimately delaying Apple and Google’s plans to pull production out of China.

Technology companies had initially considered moving production out of the country because of deteriorating trade relations between the U.S. and China and partly to avoid dependence on one source.

The ongoing pandemic means that there is now a restriction on intermittent travel and stricter controls, which thus serves as an obstacle to the plans of popular technology companies such as Apple, Google, Amazon, and others.

Apple’s plans to mass-produce AirPods and AirPodsPro in Vietnam have stalled because of strict restrictions on border control, meaning the company must continue to produce in China.

To clarify the story, a supply chain executive explained to Nikkei Asia, “[Vietnam’s] engineering workforce is still far from adequate. With all the travel restrictions, it’s only feasible to make products in Vietnam that are already in mass production elsewhere, rather than starting production of upcoming products from scratch in the country.”

For more information, read the original story in Apple Insider.

SUBSCRIBE NOW

Related articles

Apple faces backlash over recent ads

Apple is currently facing significant public backlash due to a controversial advertisement featuring a hydraulic press crushing various...

 Google executives face employee concerns amid profitsurge

At a recent all-hands meeting, Google employees voiced significant concerns regarding morale, cost-cutting measures, and the impact of...

Spotify CEO confesses to “rough times after layoffs” – stock price rises

In December, Spotify CEO Daniel Ek announced the largest round of layoffs in the company's history, cutting 1,500...

Zuckerberg shares his vision with investors and Meta stock tanks

In an era where instant gratification is often the norm, Meta CEO Mark Zuckerberg’s strategic pivot towards long-term,...

Become a member

New, Relevant Tech Stories. Our article selection is done by industry professionals. Our writers summarize them to give you the key takeaways