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Apple is reportedly starting to build some of its AirPods in Vietnam

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Key Points
  • Apple is reportedly shifting some of its AirPods production to Vietnam this quarter.
  • Roughly 30% of the company's classic AirPods will be produced in Vietnam rather than China, the Nikkei Asian Review reported. 
  • The move will continue to diversify Apple's supply chain.

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Simone Marchetti wears Apple AirPods during Milan Fashion Week in Milan, Italy.
Melodie Jeng | Getty Images

Apple is shifting some of its AirPods production to Vietnam this quarter, the Nikkei Asian Review reported Friday. 

Roughly 30%, or 3 million to 4 million, of the company's classic AirPods will be produced in Vietnam rather than China, according to the report. The move will continue to diversify Apple's supply chain, a process it began to accelerate in the past year due to U.S.-China trade tensions.

Nikkei reported last June of Apple's interest in a trial for the production of its AirPods in Vietnam. It said Apple had asked suppliers to look into moving 15% to 30% of production from China to other parts of Southeast Asia.

Apple did not immediately return a request for comment on the report. 

China is still a key market for Apple and continues to be a major production center for its devices. 

The company has already shifted some production. Last October, it began selling iPhone XR models assembled in India, which helped Apple avoid duties in the country. 

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