Vietnam: Apple Inc's suppliers are in discussion to produce Apple Watch and MacBook in Vietnam for the first time, Nikkei Asia reported on Tuesday, citing people familiar matter.

According to the source, Apple's Chinese suppliers Luxshare Precision Industry and iPhone assembler Foxconn have begun producing Apple Watch and MacBook prototypes in Northern Vietnam.

A portion of Apple's iPhone production has been moved from China to other regions, including India, where it began producing the iPhone 13 this year and where it also has plans to assemble iPad tablets.

India, the second-largest smartphone market in the world, as well as nations like Mexico and Vietnam are becoming more crucial to contract manufacturers providing American brands as they aim to diversify away from China in terms of production.

Apple, Foxconn and Luxshare Precision reportedly did not quickly respond to a Reuters request for comment.
fter reporting profits that exceeded expectations last week, Taiwanese contract manufacturer Foxconn cautioned about the upcoming quarter, citing waning smartphone demand following a pandemic-fueled surge.

Foxconn, formerly known as Hon Hai Precision Industry Co Ltd, has experienced a significant chip shortage that has hampered manufacturing as bottlenecks from the pandemic persisted and the Ukraine war further strained logistics networks.

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