Apple (NASDAQ:AAPL) is shifting some of its AirPods production to Vietnam this quarter amid the COVID-19 pandemic, Asian media reported Friday.
Roughly 30%, or three million to four million, of the company’s classic AirPods will be produced in Vietnam rather than China, according to the report. The move will continue to diversify Apple’s supply chain, a process it began to accelerate in the past year due to U.S.-China trade tensions.
Media reported last June of Apple’s interest in a trial for the production of its AirPods in Vietnam and asked suppliers to look into moving 15% to 30% of production from China to other parts of South East Asia.
China is still a key market for Apple and continues to be a major production center for its devices.
The company has already shifted some production. Last October, it began selling iPhone XR models assembled in India, which helped Apple avoid duties in the country.
AAPL shares opened Friday up $1.88 to $304.80.
