Apple working with China’s BYD to move key iPad engineering resources to Vietnam: report

Apple is allocating product development resources for the iPad to Vietnam, Nikkei reported on Friday, citing sources with knowledge of the matter.

The report says Apple is working with China’s leading iPad assembler BYD to transfer new product introduction (NPI) resources to Vietnam, marking the first time the company has committed NPI resources to such a mainstream device. Has been transferred to Vietnam.

Engineering validation for trial production of the iPad models will begin in mid-February and the models will be available in the second half of next year.

Apple and BYD did not immediately respond to Reuters requests for comment.

Apple suppliers including Luxshare and Foxconn also invested in the Southeast Asian country earlier this year to diversify production away from China.

Earlier this week, it was reported that Japanese electronic parts maker TDK Corp will manufacture lithium ion (Li-ion) battery cells for Apple iPhone models in India.

Apple is touting India as its next big growth driver as it looks to shift some production away from China.

It started assembling iPhone models in the country in 2017 through Wistron and later Foxconn and has a total of 14 suppliers in India.

Deputy Minister for Information Technology Rajeev Chandrashekhar said on social media platform X, formerly known as Twitter, that TDK will set up a manufacturing facility in the northern state of Haryana, creating several thousand new jobs.

Last month, Chinese e-commerce platforms including PD Holdings’ Pinduoduo and Alibaba’s Taobao offered deep discounts on Apple’s latest iPhone 15 series, with some models down to CNY 900 ($123 or about Rs 10,229) from the retail price. Were sold.

Analysts say the iPhone 15 is not selling as well as its predecessor in China. Counterpoint Research said that iPhone 15 sales in China were 4.5 percent lower than iPhone 14 in the first 17 days after its launch in the market.

© Thomson Reuters 2023

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