Apple supplier sets up shop in Indonesia as island of Batam profits from US-China trade war


  • TECH
  • Friday, 28 Jun 2019

Pegatron Corporation is one of many diversifying their manufacturing away from China, with a US$40mil project to make wireless chips and semiconductors.

Within the coming months, Pegatron Corporation, one of Apple’s biggest suppliers, will open its first factory in Batam, Indonesia, as part of the Taiwanese electronics maker’s effort to insulate itself from the impact of the US-China trade war.

The US$40mil (RM165.66mil) project, which will help diversify some of its manufacturing away from China, is expected to make wireless chips and semiconductors for routers across some 9,000 square metres (97,000 sq ft) of floor space in the 320 hectare (790 acre) Batamindo Industrial Park on the Indonesian island, which is the closest part of Indonesia to Singapore.

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