FILE PHOTO: A labourer works inside an electronics factory in Qingdao, Shandong province, China January 29, 2018. REUTERS/William Hong/File Photo GLOBAL BUSINESS WEEK AHEAD
Electronics makers are preparing to shift more production to South-East Asia as trade tensions with the US make it less appealing to manufacture gadgets in China.
A number of Taiwanese firms that form a crucial plank of the global supply chain have in recent days signalled their intention to diversify away from the world’s No. 2 economy. Delta Electronics Inc, which supplies power components to Apple Inc, said it’s making a US$2.14bil (RM8.70bil) offer to buy out a Thai affiliate – a precursor to expanding production there. Merry Electronics Co, which makes headphones for the likes of Bose, said it may move some of its production to the same country from southern China, depending on how the trade conflict pans out.
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