HP and Asus shift some PC making back to China due to AI-driven cost hikes

Nikkei Asia · LAULY LI · 2026-10-27 19:00 UTC

Emerging contract manufacturers reap benefits of supply-chain strategy reversal

TAIPEI -- Leading PC makers, including HP of the U.S. and Asus and Acer of Taiwan, are combating soaring component costs by shifting some production from Thailand and Vietnam back to China and using a new generation of contract manufacturers.

HP and Asus are among PC makers returning some production to China after building facilities in Vietnam and Thailand as part of a "China+1" diversification strategy. (Illustration by Michael Tsang)

Emerging contract manufacturers reap benefits of supply-chain strategy reversal

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