As of late, Apple is expanding its factories worldwide at a rapid rate. By diversifying its manufacturing facilities, Apple is looking to reduce risks associated with relying on a single location and gains access to different markets. This strategy helps optimize costs, streamline supply chains, and improve profitability. Additionally, it allows Apple to leverage local regulations and incentives, tap into diverse talent pools, and enhance its ability to meet customer demands efficiently, in addition to getting supplier manufacturing parts up in different parts of the world. As per the latest news, Apple supplier Compal Electronics Vietnam Co., Ltd. has recently signed an investment cooperation agreement with Green i-Park Company to construct a state-of-the-art factory in Lianhetai Industrial Park. With a whopping investment of $2.6 billion, this project is set to make waves in the manufacturing sector.
By 2029, the Factory’s revenue is expected to hit $1.2 Billion
The factory, expected to be completed by 2023, will span an impressive 40 hectares of land. Its initial testing phase is slated for the first quarter of 2024, followed by full-fledged production in the second quarter. The ambitious plan aims to churn out 12 million products by 2026 and an impressive 30 million pieces annually after the first year.
The scope of production at this advanced facility is diverse, encompassing computers, computer peripherals, communications equipment, home appliances, and electronic components. Such a wide range of offerings signals a significant expansion of Apple’s manufacturing capabilities in the region.
The economic impact of this venture is projected to be huge. By 2029, the factory’s estimated revenue is expected to reach $1.2 billion, a testament to the scale and success of this enterprise. Looking even further ahead, industry experts foresee a remarkable revenue surge, projecting a staggering $6.8 billion by 2037.
This bold move by Compal Electronics Vietnam Co., Ltd. demonstrates a strong commitment to growth and innovation in the tech sector. The investment not only injects a substantial sum into the local economy but also holds the potential to create job opportunities and foster technological advancements in the region.
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