Alphabet Inc’s Google has become the next smartphone maker that is opting to shift the production of its Pixel smartphones outside of China. According to multiple reports, the search engine has cast its eyes on Vietnam as its new base of manufacturing and will start the production for its Pixel devices this year, starting with the Pixel 3A series.
Statistically, Google is aiming at shipping its between eight and 10 million smartphones out to select markets, nearly double the its production quota from last year. More to the point, this also means that Google’s next flagship series, the Pixel 4 and Pixel 4 XL, may become its first devices to bear the “Made in Vietnam” stamp at the base.
Google’s decision to move its production line out of China isn’t without reason, nor is it uncommon, given the current state of China’s economy. Rising labour costs, coupled with tariffs and sanctions from US, has made increasingly difficult for major tech giants to maintain their production.
Google’s not alone in its decision either; Apple too has been contemplating to move between 15% and 30% of its production outside China. The fruit company is spoilt for choice, with a list of countries that include Mexico, India, Vietnam, and Malaysia as possible candidates for its new production facility.