China beats Taiwan as Apple's biggest source of suppliers: Report

China has ousted Taiwan as Apple Inc.’s top supplier, a development that further tangles supply chains of geopolitical rivals-People’s Republic of China and the US. Out of Apple’s 200 suppliers in 2020, 52 were based in Chinese territory, including Hong Kong, according to an analysis by Nikkei Asia released last week. The latest numbers soared from 48 recorded in 2018. Apple did not release data in 2019 owing to the pandemic.  

According to the report, Chinese suppliers are not bound to the mainland but are also aiding the California based technology firm increase its production in other countries. Testifying the same, Nikkei Asia reported that the number of Apple suppliers in Vietnam grew to 21 last year from 14 in 2018.  Seven of those 21 are owned by Chinese- or Hong Kong-based companies including AirPods assemblers Luxshare Precision Industry and GoerTek.

Faced with tough competition from China, the numbers of suppliers in Taiwan and Japan have also dwindled over the past two years. The island, which held the top stop for more than a decade, fell behind China with 48 suppliers in 2020 as compared to 52 in 2017 and 47 in 2018. Meanwhile,  Japan had only 34 suppliers in 2020, a considerable plunge from 43 in 2017 and 38 in 2018.

The number of Apple's US-based suppliers has dropped as well, to 32 last year from 37 in 2017. However, the company remains the largest generator of jobs across the American territory, ogling over 2 million jobs across the 50 states. In the US, major suppliers include 3M, Corning, Micron, Lumentum and Qualcomm, all of whom supply semiconductors and materials that are difficult to replace.

Apple's business continues to thrive 

Regardless of where the products are supplied from, Apple Inc. is on the rise. Recently, California based technology giant, transformed and preserved Rome's grand Palazzo Marignoli, making it the site of the 17th Apple Store in Italy. "The new store represents a celebration of the unique history and art of Roman culture, and we hope to inspire creativity among the local community with our Made in Rome program and future Today at Apple sessions,” said Deirdre O'Brien, Apple's senior vice president of Retail + People in a press release. Located in the heart of Rome, Via del Corso is the main street in the city and is famous for its artistic Piazzas.

Image: AP/Pixabay