In the wake of the pandemic, technology companies shifted their product manufacturing out of China to diversify their supply chains. Factory closures due to COVID-19—which disrupted production—prompted a move to locations such as Thailand, Vietnam, and India. However, due to the recent RAM crisis, Acer, ASUS, and HP are moving manufacturing back to China to reduce costs, according to a report by Nikkei Asia.
Manufacturing contracts have been awarded to China-based firms Luxshare, Huaqin Technology, and Longcheer Technology, as their supply chains allow for the production of the same goods at a lower cost. Over the past 12 months, the cost of memory alone has surged—by as much as 500 times.
By shifting manufacturing back to China, these tech companies can utilize memory produced by CXMT, which is slightly more affordable. As we reported yesterday, SK Hynix has stated that its memory production capacity is fully booked through 2029. A similar situation exists at Samsung and Micron, with selling prices expected to rise once again before the end of 2026.
