Apple Diversifies Production Away from China with Vietnam Expansion

Apple's strategic shift in manufacturing continues as the tech giant moves production of its Vision Pro headset to Vietnam. Though the device represents a small fraction of Apple's hardware output, the relocation underscores a broader trend of supply chain diversification away from China. iPhone production, however, remains largely anchored in Chinese facilities.

The company is reportedly assembling new smart home products—including a home hub and tabletop robot—in Vietnam through a partnership with Chinese EV Maker BYD. This follows Apple's earlier moves to shift portions of AirPods, iPad, and Apple Watch production to Vietnamese facilities. The tech giant has also expanded iPhone assembly in India to circumvent U.S. tariffs on Chinese imports.

Beyond Vietnam and India, Apple has extended its Mac production network to Thailand and Malaysia, while Indonesia now manufactures components for AirPods Max. These geographic shifts reflect Apple's delicate balancing act: maintaining relations with Beijing while navigating trade tensions and global supply chain pressures.