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Apple, Nintendo prepared to move production out of China

Apple, Nintendo prepared to move production out of China


Apple and Nintendo both have plans to shift some production from China to Southeast Asia to reduce exposure to the fourth proposed list of China tariffs, currently set to be approved mid-June. This list could heavily impact tech companies dependent on cheap manufacturing, raw materials, components, and hardware coming from China.

According to Young-Way Liu, the head of Foxconn Technology Group’s semiconductor business group, the company is capable of dealing with Apple’s needs to move production lines if required. Foxconn, a Taiwanese manufacturer that builds Apple’s iPhones in China, has plants across the globe and sought to calm investor fears saying its manufacturing capacity outside of China would be expanded to meet customer needs if necessary.

Nintendo, set to launch the latest update to its Switch console later this year, has already started production in Southeast Asia, according to a Wall Street Journal report, though the bulk of its manufacturing remains in China.