Apple Leaving China? Supplier list exposed in 2022, with India and Vietnam becoming the biggest winners
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Daily update of domestic and foreign technological information, follow me, don't get lost!Recently, Apple announced its supplier list for 2022, which includes over 200 companies providing components, materials, and services. This list shows Apple's influence in the global manufacturing industry and also reflects its preferences for different countries and regions
Daily update of domestic and foreign technological information, follow me, don't get lost!
Recently, Apple announced its supplier list for 2022, which includes over 200 companies providing components, materials, and services. This list shows Apple's influence in the global manufacturing industry and also reflects its preferences for different countries and regions.
Surprisingly, the number of suppliers in Chinese Mainland has decreased in this list! Last year, Apple had 92 suppliers in Chinese Mainland, accounting for 46% of the total.
This year, this number has dropped to 84, accounting for 42%. This means that Apple has cut eight suppliers in Chinese Mainland in the past year.
So, which countries did Apple transfer these orders to? The answer is India and Vietnam. Both countries have added to Apple's supplier list.
India has increased from 9 last year to 11, and Vietnam has increased from 29 last year to 31. These two countries account for 5.5% and 15.5% of the total, respectively, ranking fourth and second.
Why is Apple doing this? There are many reasons.
The first is the impact of the COVID-19 epidemic. As the world's largest manufacturing base, China implemented strict lockdowns and prevention measures during the epidemic, resulting in many factories shutting down or reducing production.
Among them is Foxconn, Apple's largest foundry responsible for producing 70% of iPhones. Foxconn has the world's largest iPhone factory in Zhengzhou, Henan Province, but its production capacity has been severely affected due to issues such as the outbreak of the epidemic and employee strikes.
Secondly, there are trade and geopolitical tensions between China and the United States. Since the Trump administration launched a trade war with China, there have been many frictions and conflicts between the two countries. The United States has imposed various sanctions and restrictions on Chinese companies, such as prohibiting Huawei from using American technology and chips.
These measures not only affect the development of Chinese enterprises, but also bring many risks and uncertainties to Apple. For example, if the US government requires Apple to withdraw from China or impose high tariffs on its products.
Therefore, in order to reduce its dependence and risk on the Chinese market, Apple has begun to seek other countries as its production bases. India and Vietnam are the most popular choices among them.
Both countries have lower labor costs, better infrastructure, greater market potential, and a more friendly policy environment. According to reports, Foxconn is accelerating the expansion of its iPhone factory in India and plans to quadruple the number of employees within two years.
JPMorgan Chase predicts that by 2025, one quarter of Apple's products will be manufactured in countries outside of China, compared to only 5% currently.
What do you think of the trend of Apple moving out of China? Do you think this is beneficial or harmful to us? Welcome to leave a message and share your thoughts!
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