A team of between 30 and 40 people at Apple is surveying the company’s major suppliers about the cost implications of moving production out of China. Nikkei reports that several major suppliers have confirmed that Apple has asked them to look into moving and restructuring production.
It’s claimed that 90% of all Apple products are assembled in China. The team, which was formed at the end of 2018, is specifically talking to the suppliers assembling iPhones, iPads, AirPods, and MacBooks. Specific suppliers include Compal, Goertek, Foxconn, Inventec, Luxshare, Pegatron, Quanta, and Wistron.
Apple’s team is reportedly also negotiating with local governments about securing preferential terms for those suppliers. According to Nikkei sources, the team is now or plans to negotiate with governments in Mexico, India, Vietnam, Indonesia and Malaysia.
MacDailyNews Take: File under: Don’t Put All your Eggs in One Basket.
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