BOE Technology Group, a supplier of displays to Apple and Samsung, prepared to shift production from China to Vietnam, with Reuters reporting it plans to invest as much as $400 million to build two factories.
The Chinese display maker currently has a small facility in the south of Vietnam and is discussing renting land in the north to build the plants, the news agency wrote.
Last month, The Wall Street Journal reported Apple advised some suppliers to transfer production out of China due to ongoing trade friction with the US.
The vendor is reportedly shifting production of displays for future iPhone models to BOE Technology Group.
Kuo Ming-Chi, an Apple analyst with TF International Securities, last week tweeted BOE Technology Group’s display shipments for iPhones are expected to increase rapidly this year, potentially overtaking Samsung and LG Display to become the largest supplier of displays for new iPhones by 2024 at the earliest.
But Bloomberg today (11 January) reported Apple is also seeking to bring display production in-house, beginning with screens for its Watch devices in 2024.
The move would be the latest in a series of shifts designed to reduce Apple’s reliance on external suppliers.
Bloomberg previously reported the vendor plans to replace Broadcom’s Wi-Fi and Bluetooth component in iPhones with its own product by the end of 2024 or early 2025.
The vendor is also developing its own 5G modem for smartphones.