US-based ruggedised 5G equipment vendor Sonim Technologies has relocated some of its manufacturing lines away from China. In particular, certain products previously made in China are now manufactured in countries eligible under the US Trade Agreement Act, which is limited to domestic plants and a handful of friendly territories including certain Caribbean countries.
TAA-compliant 5G products are eligible for procurement by US federal agencies which have stringent country-of-origin limitations and by other regulated sectors. Sonim now plans to onshore or nearshore other ruggedised products in its offering in order to streamline its operating flow, and also says the move could lead to new market opportunities.
The announcement comes after Sonim said it wanted to diversify manufacturing locations to mitigate geopolitical risk, a key concern given that its ruggedised devices appeal to mission-sensitive use cases in the enterprise, public safety, and government sectors. In addition, Sonim expects the new strategy to support its ESG (environmental, social, and governance) commitments.
Sonim’s product portfolio includes robust phones and tablets used by US government customers and first responders as well as wireless internet devices and various accessories. The company also markets durable consumer handsets in North America and Europe, working with distributors including Verizon, AT&T, and T-Mobile in the US, and Bell, Rogers, and Telus Mobility in Canada.
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