For the first time, mainland manufacturers in Apple's supply chain surpassed Taiwan factories, and Taiwan media: Taiwan factories will have a future unless they have transformed into other new fields early

Source: Global Times

【Global Times Comprehensive Report】Just after Apple announced the latest generation of mobile phone iPhone 13, Taiwan media noted that the proportion of mainland manufacturers in the company's supply chain exceeded that of Taiwan manufacturers for the first time, and Taiwan had a sense of urgency.

According to Taiwan's United News Network reported on the 26th, the mainland manufacturer Luxun Precision squeezed into the iPhone assembly for the first time this year, and it shared Apple's highest-level iPhone 13 Pro order with Taiwan Hon Hai. According to the estimates of isaiah research, a scientific research institute, Luxun won 15% to 20%. Spreading out the list of iPhone 13 suppliers, not only Luxun completed a historic breakthrough, but also the mainland panel factory BOE and lens factory Shunyu were also squeezed into the OLED panels controlled by Korean manufacturers and the optical lenses controlled by Taiwan factories.

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According to the report, the iPhone 13 is just a microcosm. In fact, in June this year, Apple announced the list of the top 200 suppliers in 2020, with 51 land manufacturers, and for the first time squeezed out a total of 48 Taiwan factories, climbing the top spot in the total number of supply chains. Zeng Mengbin, executive director of Isaiah Research, who served as a procurement in the United States, said frankly that the early Apple supply chain was clearly defined, and the panel, memory, and processor OEM were the world of Japanese and Korean factories, and Taiwan took the mechanism parts, assembly, and battery modules. But this distinction has been broken by mainland manufacturers. In the past 5 years, mainland manufacturers have fully risen in the Apple supply chain.

Taiwan media said that it is not surprising that the proportion of mainland manufacturers in Apple's supply chain will continue to grow in the future, and Taiwan factories will need to develop comprehensively if they want to retain their status. The report quoted technology analysts on the island as saying that Apple designed its own processor IC, produced by TSMC, so the value contributed by Taiwan factories may increase, "South Korea ranks first in panels and memory, and Taiwan ranks second." In the face of the comprehensive rise of mainland manufacturers, the price and scale of the fight, Taiwan factories may not be able to bargain. Unless it can get stuck in the first supplier position, or fade out and transform into other high-value new areas early, Taiwan factories will have a future. (Li Yao)