Apple is boosting its iPad production in Vietnam, making the country a key player in its global manufacturing strategy. This shift signals Apple’s efforts to find alternatives to China as a manufacturing hub and tackle uncertainties in global politics.

Teaming up with Chinese company BYD, Apple started moving iPad assembly to Vietnam in 2022. Now, Apple is taking it a step further by sending New Product Introduction (NPI) resources to Vietnam for the first time. NPI involves working closely with partners to design and develop new products, showing that Apple sees Vietnam as a reliable and capable partner.

Around mid-February, Apple will begin testing a new iPad model in Vietnam, with plans to release it in the second half of the following year. Importantly, Apple’s focus is on entry-level iPad models, not the high-end iPad Pro, showcasing a deliberate effort to diversify its manufacturing strategy.

Concerns about geopolitical tensions are pushing Apple to reduce its reliance on China, with plans to also shift some iPhone NPI processes to India. This move aligns with a broader industry trend as companies look for alternatives and ways to manage risks tied to global politics.

Vietnam is becoming a crucial part of Apple’s supply chain, emerging as a significant manufacturing hub for various Apple products. Experts predict that Vietnam could be one of the next big global manufacturing centers, given its favorable production conditions and the eagerness to invest in building more capacity.

Despite the tension between the U.S. and China, Apple is still working closely with Chinese suppliers in its manufacturing shift. The rise of Vietnam and India as essential manufacturing hubs reflects the tech industry’s ongoing efforts to diversify, not just in tablets but also in more complex products like personal computers.

As Apple strengthens its connection with Vietnam, the tech landscape is evolving, with new manufacturing centers playing a key role in shaping the future of the industry.

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