It's being reported this morning by Nikkei Asia that Apple is for the first time allocating product development resources for the iPad to Vietnam, sources briefed on the matter said, a major step toward strengthening the Southeast Asian country's position as an alternative manufacturing hub outside of China.

Apple is working with China's BYD, a key iPad assembler, to move new product introduction (NPI) resources to Vietnam. NPI involves a tech company like Apple collaborating with suppliers on the design and development of new products to make sure the blueprints are doable. This is the first time Apple has shifted NPI resources to Vietnam for such a core device.

Engineering verification for test production of an iPad model will start around mid-February next year. The model will be available in the second half of next year.

BYD was also the first Apple supplier to help the U.S. tech titan shift iPad assembly for the first time to Vietnam in 2022, Nikkei reported earlier. This shift of NPI engineering resources is focused on entry-level models rather than the premium iPad Pro.

NPI demands substantial resources both from the tech company and its suppliers, such as engineers and investment in lab equipment for testing new features and functions.

Most of Apple's NPI is carried out in China, in collaboration with engineers in Cupertino, to take advantage of the country's decades-long experience in hardware manufacturing. But geopolitical uncertainties are forcing the company to rethink this approach. Apple also plans to send some NPI processes for the iPhone to India.

Vietnam has emerged as the most important tech manufacturing hub for Apple outside of China. The Cupertino-based tech giant has asked suppliers to build new capacity for nearly all of its products except the iPhone -- from AirPods and MacBooks to Apple Watches and iPads -- in the Southeast Asian country. Having overseas NPI resources means non-China hubs will become a true alternative manufacturing base, industry executives and experts said. For more, read the full Nikkei Asia report.

BYD is an interesting Apple supplier in that they also make electric vehicles for other companies like Toyota. Apple's Project Titan is a long-term project to eventually bring electric vehicles to market. Regardless of rumors, new patents for Project Titan are published every month of the year proving it's a project alive and well. Could BYD be considered a future Apple EV partner? Only time will tell. Below is a photo of BYD's e-Platform 3.0.