Firms currently in the iPhone supply chain are believed to be experiencing strong order pull-ins from Apple at the moment ahead of the launch of 5G iPhone line later this year. But the iPhone ecosystem faces a major shakeup in 2021 as Apple has stepped up efforts building a new supply chain in China for its smartphones, according to industry sources.
The report contradicts a recent trend from Apple to veer away from China for its iPhone production. Some of Apple’s biggest producers including Foxconn, Wistron, and others are all venturing out into other Asian countries such as India and Vietnam.
The US-China trade war has hindered Apple’s long-standing relationship with the Chinese economic structure. More recently, the COVID19 pandemic and its origin in China, at the time earlier in the year forced Apple and its partners to suspend production. That suspension has now lead to a confirmed delay of this year’s new iPhone.