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Apple Supplier Foxconn to Build $270 Million Plant in Vietnam, Likely for MacBook and iPad

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Apple supplier Foxconn has been granted a license to construct a new $270 million plant in Vietnam, likely to manufacture MacBooks and iPads (via Reuters).

foxconn.jpg


The new plant, to be developed by Fukang Technology, will be located in the northern Vietnamese province of Bac Giang. Upon completion, the location is projected to be able to produce eight million laptops and tablets annually.

Foxconn is one of Apple's largest manufacturing partners. In November last year, Apple urged Foxconn to move some of its iPad and MacBook assembly from China to Vietnam as the company seeks to diversify its supply chains away from concentration in China. It therefore seems highly likely that these laptops and tablets are in fact MacBooks and iPads to supply Apple.

Foxconn has reportedly invested $1.5 billion in Vietnam so far, and plans to raise its investment by a further $700 million and recruit 10,000 additional local workers this year. Foxconn is also said to be considering another $1.3 billion investment for facilities in Thanh Hoa province.

Note: Due to the political or social nature of the discussion regarding this topic, the discussion thread is located in our Political News forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Article Link: Apple Supplier Foxconn to Build $270 Million Plant in Vietnam, Likely for MacBook and iPad
 
Article Link
https://www.macrumors.com/2021/01/18/apple-supplier-foxconn-to-build-plant-in-vietnam/
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svanstrom said:
Nice; I absolutely love seeing Apple being less reliant on the mood of the CCP.
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I don't get this comment.

The trade war was started by America, not China. People are moving away from China because America might sanction them, not the other way around.

Companies are in the business of reducing risk and maximizing profit, don't think they're on your side.
 
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wankey said:
The trade war was started by America, not China. People are moving away from China because America might sanction them, not the other way around.
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Tell that to Paul Ma. There are other, internal risks in China that have nothing to do with US sanctions.

That said, US policy made it easier to go to China. Now US policy makes it more risky to be in China. It's unclear whether this is going to survive the Trump administration, but I suspect it will as China has started behaving badly.
 
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The lack of high-wage jobs that allow Americans to move upwards has resulted in these events that we are experiencing today.

Do you know how many still live at home in 2021?

This is a national security issue. We need high paying manufacturing jobs back.
 
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A good move. Lets hope other large manufacturers diversify their critical operations around the globe. Especially after the last 12 months.
 
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q64ceo said:
The lack of high-wage jobs that allow Americans to move upwards has resulted in these events that we are experiencing today.

Do you know how many still live at home in 2021?

This is a national security issue. We need high paying manufacturing jobs back.
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Well read up on it cause it's not coming. The states in the US do not have enough technically trained citizens to fill a line. The company would need to bus people in from multiple states and house them. States that provide the land and tax breaks don't want to share. There is more just need to look into it.
 
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wankey said:
I don't get this comment.

The trade war was started by America, not China. People are moving away from China because America might sanction them, not the other way around.

Companies are in the business of reducing risk and maximizing profit, don't think they're on your side.
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The situation is way more complex than a simple trade war; no matter who started it.

Part of the problem is that if Apple is relying too much on factories in China, then they are completely in the hands of the CCP; and the CCP have these past years implemented a lot of new laws that per definition are global, so if Apple even try to investigate the situation in East Turkistan, or in any way just comment on CCP actions/politics, then… well… it wouldn't be good for Apple business.

The proverbial powder keg already has a lit fused; the question is just whether or not Apple has enough time to exit enough of the manufacturing out of CCP-land before things blow up. Because people in the west will force Apple to uphold the standards that Apple says that they stand for, and that will sooner or later make them clash with the CCP.
 
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mtneer said:
This could have been done in Guatemala or Honduras. Could have brought some jobs, peace and stability for that region.
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Vietnam is already quite established in the electronics market, despite being less famous for it than other far eastern destinations (most of the Nokia phones I owned were made there) so there's a ready and able work force and all the relevant infrastructure and services available.

q64ceo said:
The lack of high-wage jobs that allow Americans to move upwards has resulted in these events that we are experiencing today.

Do you know how many still live at home in 2021?

This is a national security issue. We need high paying manufacturing jobs back.
Click to expand...
You'll want to look elsewhere than phone/ laptop assembly, then...
 
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newyorksole said:
I’m not sure how an electronics factory would bring peace and stability to a region. Maybe I’m ignorant.

There’s clearly a reason why Apple and other corporations utilize Asian countries for manufacturing.
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Yep it's quite the other way round, this sort of investment goes to places that are already politically stable and have a cheap, reliable workforce. Vietnam doesn't have a very high profile with it, but it's been a key location for this sort of manufacturing for a while now, so there's also all the supporting infrastructure and services a company will also want access to when looking where to build a facility like this.
 
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kaycrystal626 said:
So does that solve the issue of the underpaid and overworked condition?
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Not really; but at the same time it will absolutely have some sort of affect.

Starting over from scratch like this it will absolutely be informative to see how Apple is dealing with problems like that. And we've already seen problems like those in Vietnam; so 2021 will absolutely be an "interesting" year as far as seeing what Apple does in this area.
 
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