Technology

Foxconn accused a Chinese competitor of ‘robbing’ employees in Vietnam


Foxconn, Apple’s key manufacturing partner, is criticizing its Chinese rivals for their access to Vietnamese workers.

Foxconn headquarters in Taipei (Image: Bloomberg)

Foxconn faces a talent war as Apple’s major suppliers continue to shift some production from China to Vietnam amid ongoing tensions between Beijing and Washington.

According to the chairman of Foxconn, Chinese competitors in Vietnam have set up offices near the company’s headquarters to “catch” employees. Speaking to reporters in Taipei on June 10, Mr. Young Liu affirmed: “This move should not be ignored.”

Currently, three competitors operating in Vietnam of Foxconn include: Luxshare Precision Industry, GoerTek and BYD. The first two companies make AirPods, while BYD is preparing to produce iPads.

Mr. Liu revealed that they are recruiting about 60,000 people in Vietnam and this is their largest production site after China. The company will continue to significantly increase the number of domestic employees in the next 1-2 years but does not disclose specific numbers.

During the tenure of former US President Donald Trump, the US has imposed a variety of measures, including taxing several imports from China to reshape global supply chains. The administration of US President Joe Biden is considering adjusting tariffs on China, but US officials have not made any major changes so far.

While most of Foxconn’s production takes place in China, the world’s largest contract electronics maker has made changes to mitigate risks from the US-China trade war. According to Bloomberg, the company once planned to move some production of iPads and MacBooks to a new factory in Bac Giang, originally scheduled to start production in 2021. However, the construction progress is unknown. How about this machine?

Foxconn has been manufacturing Vietnamese electronics for many years, even before the US-China trade war broke out under Mr. Trump.

Du Lam (According to Bloomberg)

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