The company sources raw materials and components primarily from suppliers within China and consigns them to manufacturers. Key components include Bluetooth Low Energy (BLE) system-on-chip, PPG sensor, flash memory, gravity sensor, battery, and screen. Main chips and heart-rate sensors are primarily supplied by the invested company Jiangsu Yitong, which provides wearable chip and sensor technology, stable supply, and cost efficiency. Manufacturing is outsourced to multiple contract manufacturers, with production assigned according to design specifications. Since 2023, global manufacturing capabilities have been strengthened, with markets outside North America supplied mainly from China and North American markets from Vietnam. The company regularly evaluates contract manufacturers and suppliers and does not maintain purchase commitments; supply agreements typically last two to three years. Suppliers also provide direct order fulfillment and logistics services. New products undergo engineering, design, and production validation testing before commercial production, beginning with low production volumes to assess market reception.
Zepp Health's Comment on Supply Chain
The company sources raw materials and components primarily from suppliers within China and consigns them to manufacturers. Key components include Bluetooth Low Energy (BLE) system-on-chip, PPG sensor, flash memory, gravity sensor, battery, and screen. Main chips and heart-rate sensors are primarily supplied by the invested company Jiangsu Yitong, which provides wearable chip and sensor technology, stable supply, and cost efficiency. Manufacturing is outsourced to multiple contract manufacturers, with production assigned according to design specifications. Since 2023, global manufacturing capabilities have been strengthened, with markets outside North America supplied mainly from China and North American markets from Vietnam. The company regularly evaluates contract manufacturers and suppliers and does not maintain purchase commitments; supply agreements typically last two to three years. Suppliers also provide direct order fulfillment and logistics services. New products undergo engineering, design, and production validation testing before commercial production, beginning with low production volumes to assess market reception.
Sources:
Zepp Health Corp's official press releases and regulatory filings; CSIMarket.com's supply-chain research; and the financial filings and press releases of other companies cited in this report.
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