“The notebook PC shipment growth is attributed mainly to the COVID-19 that has driven an early replacement demand and WFH (Work From Home) trend”, said Jay Yang, Director at MIC. “COVID-19 is also leading to global server shipment growth at nearly 3%. If the pandemic continues into 2021, it will facilitate notebook PC shipments in the commercial and educational sectors but affect desktop PC shipments in the commercial sector.”

The relocation of supply chains will be essential for the IT industry in the next decade. For instance, if the US-China trade war continues, assemblers of notebook PCs will continue to relocate production sites out of China. By 2030, China will continue to be a major hub for notebook PC production but its share will drop to 40%.

Assemblers will most likely to shift production bases to Southeast Asia to lower production costs and mitigate trade war impact. By 2023, it is estimated up to 50% of notebook PC assembly services will be done in Southeast Asia.