HANOI: Apple is in talks to make Apple Watches and MacBooks in Vietnam for the first time, as the US tech giant looks to diversify production away from China, Nikkei Asia has reported.

According to the newspaper, Apple suppliers Luxshare Precision Industry and Foxconn have started test production of the Apple Watch in northern Vietnam with the aim of producing the device outside of China.

Regarding the production of the MacBook, Apple has asked suppliers to set up a test production line in Vietnam. However, progress in moving mass production to the country has been slow, partly due to pandemic-related disruptions.

Vietnam is already Apple’s most important production hub outside of China, producing a wide range of flagship products for the American company, including iPad tablets and AirPods earphones.

According to industry experts, the Apple Watch is even more sophisticated because many components in such a small case require a high degree of technological skill.

Producing the device would be a win for Vietnam as it attempts to upgrade its tech manufacturing sector.

 - ANN