The company announced Wednesday that "effectively all trackers and smart watches" starting in January "will not be of Chinese origin" as a result of US tariffs.
Fitbit appears to be one of the first major technology companies to publicly announce that it is shifting completely away from China, which has long been a hub for the Silicon Valley giants thanks to the country's abundance of skilled low-wage workers and robust technology infrastructure.
During the first half of 2019, Fitbit introduced several strategic measures to boost its financial health, including lowering the cost of some devices to appeal to new customers and offering top-notch digital services, such as improving sleep, to take advantage of users who do not replace their devices frequently. However, such measures are linked to maintaining strong margins on the units Fitbit sells, which can lead to tariffs.
Fitbit CEO Ron Kisling said in a statement Wednesday that the company began seeking alternatives to manufacturing in China in 2018, when the threat of the trade war broke out.
"As a result of these surveys, we have made changes to our supply chain and manufacturing operations and have further changes underway," Kisling said.
The company said it would offer further details on the change and its financial implications when reporting third-quarter revenue, expected later this month.