Nikkei: Google plans to move Pixel phone production to Vietnam

 

According to the Nikkei business daily on August 28, Google will move the production of Pixel smartphones from China to Vietnam as soon as this year in the context of this technology giant building a low-cost supply chain in Southeast Asia.

The move comes amid rising labor costs in China along with increased pressure from soaring tariffs due to Sino-US trade tensions.

According to Nikkei, the U.S. Internet giant plans to move most of its hardware exports to the U.S. out of China, including Pixel phones and Google Home smart speakers.

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The company plans to ship about 8 million to 10 million smartphones this year, double that of a year ago, thereby making Vietnam an important part of Google's efforts to grow in the smartphone market.

Nikkei's source said that Google will move some Pixel 3A phone production  lines to Vietnam before the end of this year.

As for its smart speakers, some products will likely be transferred to Thailand but the company will still develop new products and make original production for the hardware lineup in China.

Google did not immediately comment on the information posted by Nikkei.