iRobot breaks with Hong Kong partner over China production

Company cites US tariffs in shift of Roomba robot vacuum assembly to Malaysia

20210505 iROBOT headquarters

The U.S. headquarters of iRobot in Bedford, Massachusetts. The company has been gradually shifting production out of China amid rising tensions between Washington and Beijing. © AP

KENJI KAWASE, Nikkei Asia chief business news correspondent

HONG KONG -- iRobot has broken off ties with the Hong Kong company that for years helped develop and produce the robotic vacuum Roomba in the latest fallout from the U.S.-China trade conflict.

Without mentioning iRobot by name, Kin Yat Holdings said in a premarket exchange filing Tuesday that a "significant customer ... which is a leading American technology company specializing in robotic floor care products" was ending its service contract, noting the customer accounted for 55% of total revenues for the year ended March 2020.

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