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Supply Chain

Apple to move key iPad engineering resources to Vietnam

China's BYD helps American giant with shift to alternative tech hubs

Vietnam is emerging as an increasingly important production hub for Apple as the iPhone maker seeks to reduce its dependence on China. (Nikkei montage/Source photos by AP) 

TAIPEI -- Apple is for the first time allocating product development resources for the iPad to Vietnam, sources briefed on the matter said, a major step toward strengthening the Southeast Asian country's position as an alternative manufacturing hub outside of China.

Apple is working with China's BYD, a key iPad assembler, to move new product introduction (NPI) resources to Vietnam. NPI involves a tech company like Apple collaborating with suppliers on the design and development of new products to make sure the blueprints are doable. This is the first time Apple has shifted NPI resources to Vietnam for such a core device.

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