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Manufacturing of Google Pixel phones has moved back and forth between China and Vietnam over the past few years, but the company appears to be looking for its next new location. According to foreign media The Information report, in the future, 10% to 20% of Pixel mobile phone shipments are expected to be transferred to India for production. Observing that some of Apple’s iPhones are transferred to India for production, it seems that mobile phone production has become a trend to move south.
The Information report points out that Google is considering producing Pixel phones in India, with an estimated output of about 500,000 to 1 million units, which will account for about 10-20% of the annual Pixel phone shipments. Reports say Google is keeping an eye on local production in India, but nothing concrete has been done so far.
Pixel phones are mainly produced in China, and Google tried to leave China for the first time in 2019 and went to Vietnam to produce mobile phones. It is reported that Pixel 4a and Pixel 5 are produced in Vietnam. And with the COVID-19 outbreak disrupting supply chains and manufacturing plans, the Pixel 6 series returned to China for production.
However, people familiar with Google said that the Chinese blockade forced Google to delay obtaining some components of the Pixel phone and had to find a record.
Moving some production capacity to India will also help Pixel phones sell locally. India imposes a high import tax of 20% on mobile phones produced outside the country. If Pixel phones can be produced locally, costs can be reduced, thereby providing more competitive prices. In fact, the Pixel 6a is Google’s first phone in India in nearly 3 years, but its price is much higher than its competitors in the market.
(Source of the first image: Google)
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