Monday, November 30, 2020

US tech giants: Google, Amazon and Microsoft are planning to move their production out of China

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Zubair Yaqoob
Zubair Yaqoob
The author has diversified experience in investigative journalism. He is Chief content editor at wnobserver.com He can be reached at: [email protected]

For fear of a trade war on China, a number of US tech giants such as Google, Amazon, Microsoft, Dell and HP are preparing to begin shifting production away from China, according to the Business Insider report.

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The report quoted several sources as saying that the five companies had begun to explore many other Asian countries as a substitute for China to set up electronic companies.

Some experts said Amazon was considering moving its output from electronic readings and smartphones to Vietnam, while Microsoft is evaluating the market in Thailand and Indonesia. Google has not yet settled where its smart speakers will be produced.

For Dell and HP, laptops are the main area. Both companies are said to have produced nearly 70 million laptops last year in China, but Dell is already testing laptops in Taiwan, Vietnam and the Philippines. HP is studying 20% to 30% of its production has been exported outside China and has been selected for Thailand and Taiwan as an alternative to China.

This is the latest chapter in the cold technology war between China and the United States. Although Trump recently dropped the ban on the sale of China’s commercial tools, this does not eliminate the additional taxes imposed on the products, and the possibility of changing the decision at any moment, making the five US tech giants think about relocating their factories to a different place.

Apple is also considering transferring between 15% and 30% of its output from China, as US companies want to reduce their losses.

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Read also: More than 600 US companies demand Trump to resolve trade dispute with China

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Zubair Yaqoob
Zubair Yaqoob
The author has diversified experience in investigative journalism. He is Chief content editor at wnobserver.com He can be reached at: [email protected]
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