Luxshare Precision Industry, a major Apple supplier, has received a license to boost its investment in its plant located in Vietnam’s Bac Giang province. The additional investment, totaling $330 million, brings the overall investment in the facility to $504 million, according to provincial authorities.
The construction of the facility is expected to be completed within 12 to 24 months, contributing to the region’s industrial landscape, Reuters news report said.
Luxshare, based in China, has been a manufacturer of Apple’s AirPods and commenced its investment in Vietnam back in 2019. This expansion aligns with a broader trend among manufacturers, including Apple suppliers, to diversify production beyond China.
Bac Giang authorities anticipate that Luxshare Precision’s increased investment will not only boost the local economy but also strengthen the region’s position in the global electronics manufacturing supply chain.
This move by Luxshare follows a similar trend within the industry. Earlier this year, another prominent Apple supplier, Foxconn, established a new factory in central Vietnam and augmented its investment in the country by $250 million. Foxconn’s investment expansion aimed at producing electric vehicles and telecom components, reflecting the broader shift of manufacturers seeking alternative production locations.