Microsoft has declined that it will be shifting production of its technology out of China, following a report that the heightening US-China trade spat had spurred the possible transfer. Last week, a report stated Microsoft, together with Amazon, Google, HP, Dell, Sony, Nintendo, Asus, and Lenovo, would start production products in other Asian countries, including Thailand, Vietnam, Indonesia, and Taiwan
The trade war escalation could see an increase in tech product pricing, with China saying back in May that it will impose a 25% tariff on the US products in retaliation against President Donald Trump’s plan to increase taxes on products imported from China. Analysts have forecast the cost of iPhones to rise by as much as 14% in an outcome — although Apple CEO Tim Cook said in June, he’s not anticipating that.
“The reporting on Wednesday was inaccurate and didn’t replicate Microsoft’s manufacturing intentions in China in any approach,” a Microsoft spokesperson mentioned in an emailed assertion Monday night.
A Lenovo spokesperson last week stated it also has no intentions to shift. In May, Lenovo had introduced a $300 million funding in a brand new smart factory in Shenzhen, China.
HP stated it refuses to touch upon rumors and hypothesis; however, last week the corporate said it is “actively monitoring the scenario and can continue to work with officials to advocate for the most effective pursuits of customers, companions, and customers.”
Amazon, Google, Dell, Sony, Asus, and Nintendo did not reply to requests for comment.
Nikkei had additionally beforehand reported in June that Apple is also considering moving between 15% and 30% of all iPhone manufacturing out of China and has asked its leading suppliers to weigh up the costs.