Google reportedly plans to shift all Pixel production outside China by 2027

Google is reportedly preparing to end production of its Pixel devices in China, as the company expands manufacturing operations in other parts of Asia. The move would see Pixel smartphones, smartwatches and wireless earbuds produced outside China from 2027, according to Nikkei Asia.

The reported change comes as Google continues to build manufacturing capacity in Vietnam and India. Although China remains an important part of the company’s hardware supply chain, Google has been gradually increasing production elsewhere. The company is now said to be preparing its suppliers for a wider shift that would remove China from Pixel device manufacturing altogether.

Vietnam becomes a key part of Google’s hardware strategy

Vietnam is expected to play a major role in Google’s plans. The company has already invested in manufacturing operations in the country, and its experience producing Pixel smartphones there appears to have helped build confidence in moving additional products away from China.

Nikkei Asia reported in January that Google planned to develop and manufacture its Pixel 11 range in Vietnam. Establishing smartphone production in a new location required the company to install testing equipment and tooling machines, while also checking and refining manufacturing processes. The work was reportedly carried out from the ground up rather than simply transferring an existing production line.

The successful move of Pixel smartphone manufacturing to Vietnam could give Google a foundation for producing other hardware products there. Smartphones generally require more complicated manufacturing processes than smaller devices such as wireless earbuds and smartwatches, making the experience particularly important for the company’s wider strategy.

Vietnam’s established electronics manufacturing industry also helps Google’s decision. Samsung has built a significant smartphone supply chain in the country, giving other technology companies access to suppliers, workers and manufacturing expertise. This existing ecosystem could make it easier for Google to expand its own operations without having to develop every part of the supply chain independently.

China offers fewer advantages for Google’s Pixel business

Google could face fewer obstacles in reducing its dependence on Chinese manufacturing than some other major technology companies. One reason is that Pixel smartphones are not officially sold in China, meaning the company has less need to maintain a manufacturing base there to support a domestic consumer market.

A source cited by Nikkei Asia said Google’s relatively small Pixel user base also means the company has less manufacturing volume to relocate. Compared with larger smartphone makers with substantial operations and sales in China, Google can potentially make supply-chain changes with fewer disruptions.

The reported production shift also reflects a broader effort by technology companies to diversify manufacturing. Companies have increasingly looked to countries including Vietnam and India as alternatives to China, seeking to reduce exposure to supply chain disruptions, changing trade conditions and rising production costs.

Google has already expanded its manufacturing presence in India, particularly for Pixel smartphones. The country has become an increasingly important location for the company as it seeks to increase production closer to major markets. Vietnam, meanwhile, provides another manufacturing base for devices intended for global distribution.

Moving all Pixel products outside China would represent a significant change in Google’s hardware strategy. It would also mean that the company could rely more heavily on its production networks in Vietnam and India while using existing Asian supply chains to support component sourcing and assembly.

Google expects Pixel shipments to continue growing

Alongside the manufacturing changes, Google is reportedly targeting higher Pixel shipments. The company has told suppliers that it expects phone shipments to rise by between 8 and 10 per cent this year compared with 2025, when around 12 million Pixel smartphones were shipped.

If it achieves that target, Google would continue to expand its presence in the highly competitive smartphone market. Pixel devices remain considerably smaller in volume than those of leading smartphone brands. Still, Google has used its hardware business to promote its wider ecosystem of services and artificial intelligence features.

The company is particularly focused on Gemini, its artificial intelligence platform. Google sees Pixel smartphones as an important way to introduce users to Gemini’s AI capabilities and other software features. Greater Pixel sales could therefore help the company increase adoption of its AI services while strengthening the connection between its hardware and software businesses.

The reported increase in shipments could also place additional pressure on Google’s supply chain. Higher production volumes would require the company to secure sufficient component supplies while keeping costs under control.

Memory components are one area where Google is reportedly taking steps to manage expenses. According to Nikkei Asia, the company has been combining orders for smartphone memory chips with orders for memory used by its cloud computing operations. By purchasing components for both businesses together, Google could potentially improve its negotiating position with suppliers and reduce the impact of rising memory costs.

The reported plans remain dependent on Google’s suppliers and manufacturing partners successfully expanding operations outside China. If the transition proceeds as expected, the Pixel range could become one of the company’s most significant examples of a hardware business built around a diversified manufacturing network.

Google has not publicly confirmed all of the reported details, including the precise timetable for ending Pixel production in China. However, continued investment in Vietnam and India suggests that the company is steadily preparing its hardware supply chain for a future with less reliance on Chinese manufacturing.