According to the news coming from the last few days, most of the tech companies are moving to other countries besides China to produce all their products. Keeping in mind the ongoing trade war between the US and China, all American companies like Amazon, Dell, HP are planning to shift a large part of their production elsewhere. But in the meantime Microsoft has denied that it is also taking production of its Xbox game consoles outside China.
A Microsoft spokesperson said in his statement – “There is no truth in the news that Microsoft is moving production of its products outside China and all these reports will not affect the production of our Xbox console in China.” “. Apart from Microsoft, Lenovo has also said that at the moment they are not thinking about taking the production of their laptops outside China.
According to the information received, large laptop manufacturers like HP and Dell, whose production plants are in Chongqing and Kunshan city of China, are taking 30 percent of their production outside China. Apart from this, Amazon has also started looking elsewhere for the production of its Kindles and Echo speakers. For now, HP has declined to comment on the matter.
According to the new tax rates imposed by the US government, more local taxes will have to be paid on everything manufactured in China, which will directly affect the prices of products and companies will have to increase the prices of their products and this will also put more burden on consumers. Currently, China is the largest computer and smartphone manufacturer in the world, but going out of production of some big companies will make a big difference to China.
While Foxconn and Inventec have decided to shift production to countries such as Taiwan and Mexico, Amazon and Nintendo are thinking of starting production in Vietnam. Microsoft may also start production in Thailand or Indonesia in the future, where nothing can be clearly known yet.