production Apple

Apple transfers production from AirPods, iPad and Apple Watch Taiwan

According to several sources, Apple has already started the process of transferring production of AirPods, iPad and Apple Watch from China to Taiwan. The Californian glove is indeed trying to remedy the problem of the Coronavirus.

Apple production

With this decision, Apple is accelerating the process of diversifying the offer already started a few years ago, especially in India. The Coronavirus epidemic has forced the company to access things to avoid a slowdown – if not an interruption – in all production of its devices. Some factories in China have already reopened and are assembling various iPhone models (including the possible iPhone SE 2), albeit very slowly. For other devices, Apple would have decided to rely on several Tawan partners to avoid any future problems.

The demand for AirPods, iPad and Apple Watch doesn't seem to be slowing down, which is why Apple is forced to supply as many devices as possible in order to avoid slowdowns in deliveries.

A third of Chinese production lines will remain inactive in the first quarter of this year. It would even be almost impossible to return to normal production levels by the end of February. Nor is it certain that production will restart at full speed by mid-March.

Relocating the assembly from China Taiwan will help Apple, but it will not be a permanent and lasting solution. Many components are actually made in China. If the epidemic continues, Tawan’s manufacturers will also run out of components.

Several analysts very close to manufacturing problems in China nevertheless believe that the situation could be restored before. To add that the consequences for Apple will not be so serious. Analysts say Apple’s long-term outlook has not changed, although there may be an impact in the first and second quarters of the year.

In the end, Apple should return to mass production this summer. Sales will also be higher, at least for all non-shipped devices due to the lack of units.