Coming under the heat of the escalating US-China trade war and Donald Trump's threat of imposing punitive tariffs that may make China-manufactured products extremely uncompetitive, some US tech giants are mulling the idea of shifting their production base out of Asia's largest economy. Tech majors like Microsoft, Amazon Web Services, and Google are toying with the idea of moving out of China.

Microsoft's China exit

According to Nikkei Asia, Microsoft has decided to manufacture a majority of its new products, including Surface laptops and data center servers, outside of China. It may come as early as the beginning of 2026. In an attempt to reduce dependence on China, it has asked its suppliers to explore options for producing not just the final products, but also key components and assemb

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