Google plans to end production of its Pixel smartphones, smartwatches, and wireless earbuds in China by 2027. The company intends to shift production to Vietnam and India, according to Nikkei Asia. This move is part of Google's effort to reduce its supply-chain exposure amid ongoing US-China tensions. Google has already successfully produced high-end Pixel smartphones in Vietnam this year, which has given the company confidence to move ahead with its timeline. The company plans to increase Pixel smartphone shipments by 8% to 10% this year, despite rising memory-chip costs.
Production Shift
Google will be the second major global smartphone brand after Samsung Electronics to shift production away from China. The company is also bundling memory-chip orders for its cloud business and smartphones to strengthen its bargaining position with suppliers.