Due to U.S. duties, Google relocates smartphone production to former Nokia factory

Several sources at the Nikkei Asian Review building report that Google is moving production

smartphones from China to Vietnam.

Why?

This is due to the trade war between the United States and China. More precisely, the trade duties that America is about to introduce on September 1 due to this war.

According to the office of the US Trade Representative,On September 1, the US Customs and Border Control Agency will begin levying a 15 percent duty on some Chinese goods (totaling more than $ 125 billion). The list included smart watches, Bluetooth headphones, TVs and shoes. From December 15, a 15% tariff will be charged on goods from the rest of the list: mobile phones, laptops, toys and clothes.

Thus, despite the fact that GoogleAmerican "registration", gadgets collected in China will have to pay. And this is either an increase in the price of devices, or a loss of income. Therefore, the company decided to transfer production.

Where?

Now the new Pixel will be assembled in Vietnam, at the former Nokia factory. Now it belongs to FIH Mobile, daughter of Foxconn. Plant modernization has already begun.

But the production of “smart” speakers can be transferred to Thailand. Google won’t leave China completely: primary production of device hardware will remain here

By the way, other American companies also thought about “moving” from China due to trade duties. These include Apple, HP, Dell, Microsoft, Amazon, Lenovo, Acer, Sony, Asus, and Nintendo.

Facebook Notice for EU! You need to login to view and post FB Comments!