The trade war has started to show a negative effect on big tech companies, and latestly Google has decided to move out the production of Pixel from China. The search engine giant company Google is considered to be one of the largest hardware producers in the world, and the majority of its production houses are in China. According to the latest reports, it’s been found that tech giant Google will be moving its hardware products from China to Vietnam. Google produces Pixels, smart speakers, and other hardware devices in China at large quantities. However, now because of the rising tension between the two most significant nations in this world, they have decided to tackle this bold move.
Trump started the trade war a few months ago, and now there is no clear chance when it’s going to end. Google is suffering a considerable amount of losses because of it. China, Asia’s largest nation, is trying to put a hefty amount of taxes on US-based companies. Recently the Chinese government increased taxes on US-based produced goods, which is costing a lot of money to big companies. The Chinese government is trying to target tech companies from the USA by increasing tariff rates on the products which get produced by them.
Big tech companies are into the obligation of paying higher wage rates, which is creating big problems for them and affecting the overall production plus supply of products. Apple, Google, Tesla, and many other big companies are trying to shift their production house from China to elsewhere. The report says that Google is going to change the production of Pixel 3A phone to China by the end of this year. So far, Google hasn’t responded clearly to these reports, but experts believe this decision was expected since Google is facing a massive problem in China.
Jeffrey is acting editor in chief of AmazingNews24 with over seven years of experience in the field of online news under his belt. Jeffrey has worked with multiple media houses and is currently leading a team of journalists, sub-editors and writers through his entrepreneurial endeavours.