25 Apple’s partners have factories set up in Vietnam
The Apple report released the list of 180 companies, accounting for 98% of the firm’s direct costs for materials, production, and assembly worldwide. Of the total, 25 of its manufacturing partners have established factories in Vietnam.
Specifically, there are several familiar Apple manufacturing partners to feature in the list, including Foxconn, Luxshare Precision, or component suppliers Samsung, LG Display, and Intel.
During the fiscal year 2021, the tech giant added five new partners with factories in Vietnam, and at the same time eliminated Foster Electric which had factories in Binh Duong and Da Nang.
The list also added Luxshare Precision's factory at the Vietnam – Singapore Industrial Park (VSIP) in the central province of Nghe An which has been in operation since 2020. Previously, Luxshare had manufactured Apple devices in the northern province of Bac Giang.
JP Morgan’s recent report outlined that Vietnam is on the pathway to developing into an important manufacturing base for Apple, supplying 65% of AirPods, 5% of MacBooks, 20% of iPads, and Apple Watches by 2025.
The move was considered a step forward for Vietnam in the field of manufacturing, contributing to maintaining the global supply chain, said Japanese business news outlet Nikkei Asia.