Xiaomi starts smartphone production in Vietnam

Its smartphones are made in Vietnam by DBG Technology, a subsidiary of Hong Kong's DBG Electronics Investment Limited, at a factory in northern Thai Nguyen Province.

Besides supplying to the local market, those devices will also be exported to some Southeast Asia markets including Malaysia and Thailand, a representative of Xiaomi Vietnam said.

The DBG Technology factory only manufactures certain models, it was added.

Nguyen Duc Trong of Digiworld, a Xiaomi authorized reseller in Vietnam, said producing smartphones in Vietnam would help solve issues caused by Covid-19 disruption on the global supply chain.

"[Vietnamese] consumers will have a more stable supply, while [the country] will solidify its position in the race for smart manufacturing."

Xiaomi is the second largest smartphone maker in Vietnam, accounting for 20.6 percent of market share in the first three months this year, according to data from industry analysis firm Counterpoint.

Xiaomi smartphones are mostly made in China and India by its manufacturing partners, including Foxconn, DBG, BYD and Flex.