Apple is moving part of iPad production from China to Vietnam for the first time ever, says Nikkei Asia
Apple is moving some iPad production out of China for the first time amid continued disruption from shutdowns in cities like Shanghai, Nikkei Asia reported.
The move, expected last year but delayed by Vietnam’s own COVID push, underscores Vietnam’s importance to Apple in its continued pursuit of supply chain stability: BYD, a major Chinese manufacturer and supplier of iPad, will soon start producing a small number of tablets in Vietnam, according to the report.
The iPad would be the second major series of Apple products to be manufactured in Vietnam after the AirPods Pro 2.
Apple has also asked several China-based manufacturers to stockpile components such as circuit boards and chips to protect against future supply disruptions and mitigate disruptions caused by ongoing COVID-19 lockdowns, it said. reported Nikkei.
Vietnamese economy to benefit most from RCEP
A recent World Bank report offers an in-depth analysis of how RCEP can impact the economic atmosphere of its member countries, including Vietnam.
The Regional Comprehensive Economic Partnership (RCEP) agreement officially entered into force on January 1, 2022. RCEP member countries account for almost a third of global GDP and population, and a quarter of global exports and imports. . If implemented successfully, it can have a huge impact not only on Vietnam but on the global economy.
Like several of Vietnam’s FTAs, RCEP is a modern trade agreement that takes into account countries of different sizes, populations and GDPs. World Bank documents predict that countries in RCEP will see their GDP increase by 1.5%.
Economists note that the deal could add nearly US$200 billion to the global economy by 2030. Still, it’s important to note that it will take years to see the benefits of RCEP and it could not be as important as CPTPP and EVFTA for Vietnam.