Taiwan’s Quanta Computer, a world-leading contract laptop maker, has approved plans to set up a new factory in Vietnam for up to $50 million in its supply chain diversification.
The Quanta move follows other Taiwanese electronics makers, including Foxconn, Pegatron, Wistron, Compal Electronics, and Inventec Corp. in increasing investment in Vietnam in recent years.
Quanta issued a filing with the Taiwan Stock Exchange (TWSE) on Monday for this new manufacturing facility at a location not yet announced but expected to be in northern Vietnam.
Quanta, a major assembler of Apple Inc.’s MacBook computers, plans to make notebook computers and some consumer electronics at the new Vietnamese facility, its second manufacturing hub in Southeast Asia after Thailand. According to the manufacturer, it continues to diversify its production bases to meet customer demand for improved supply chain resilience.
Established in 1988, Quanta is a Global Fortune 500 company. The computer maker, listed as 2382 on TWSE, reported its 2022 net profit at NT$28.96 billion ($949.2 million) down 14% compared with 2021.
Taiwan-based Foxconn has already planned to start producing MacBooks in Vietnam for the first time as early as May. The country has benefited from the global “China plus one” trend in which multinationals are diversifying manufacturing.
Vietnam is already home to production facilities of major assemblers of Apple products like Foxconn, Pegatron, Wistron, Luxshare Precision, Compal Electronics, Goertek, and BYD. Among them, Foxconn, Luxshare, and Compal are mainly responsible for MacBook and Apple Watch assembly, while Luxshare and Goertek are major AirPod suppliers.
In mid-December last year, Compal signed a deal to lease 40 hectares of land in the northern Vietnamese province of Thai Binh for its new $260 million investment to build a new factory.