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Apple considers moving some production out of China amid trade tensions: report
The Hill ^ | June 20, 2019 | CHRIS MILLS RODRIGO

Posted on 06/20/2019 6:47:25 AM PDT by maggief

Apple is considering moving some of its production outside of China amid rising trade tensions between Washington and Beijing, The Wall Street Journal reported Thursday.

The company is looking into the feasibility of shifting up to one-third of the production for some devices out of China, sources told the Journal.

Destinations under consideration reportedly include Southeast Asia.

Any major shift would take years to implement, given the company relies on hundreds of thousands of workers available in China to manufacture the iPhone, the Journal noted.

Foxconn Technology Group, Apple's biggest assembler, is starting preparations to ramp up production for the new iPhones coming out this fall, sources told the newspaper.

“There is some flexibility to move Mac and other products, but it won’t be easy,” Mehdi Hosseini, an analyst with Susquehanna International Group who focuses on the technology supply chain, told the Journal.

“You have to have relatively skilled labor. You have to create an inventory hub. It would take time.”

Apple did not immediately respond to a request for comment on the report.

The reported shift out of China comes amid rising trade tensions with the U.S.

(Excerpt) Read more at thehill.com ...


TOPICS: Business/Economy; Foreign Affairs; News/Current Events
KEYWORDS:
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1 posted on 06/20/2019 6:47:25 AM PDT by maggief
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To: maggief

The company is looking into the feasibility of shifting up to one-third of the production for some devices out of China.

However, they will not be moving to the USA.


2 posted on 06/20/2019 6:51:07 AM PDT by woodbutcher1963
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To: woodbutcher1963

Any bets on India getting the ‘nod’?


3 posted on 06/20/2019 6:53:12 AM PDT by pepsionice
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To: pepsionice
Any bets on India getting the ‘nod’?

I'd love to see India get a windfall of industry moves to their shore!

MADE IN INDIA would be much nicer to see on stuff at WalMart.

I wince whenever I see MADE IN CHINA :-(

4 posted on 06/20/2019 6:57:44 AM PDT by Bobalu (McCain will be like Hell's Walmart greeter for the other traitors when they arrive.)
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To: maggief

Make it here, do it now.


5 posted on 06/20/2019 6:58:03 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: Bobalu

MADE IN THE USA G-D it.


6 posted on 06/20/2019 6:58:28 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: pepsionice

You Free Traitors™ never give up. I guess it will take the noose.


7 posted on 06/20/2019 6:59:06 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: woodbutcher1963
However, they will not be moving to the USA.

You don't know that.

8 posted on 06/20/2019 6:59:49 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: central_va

That sounds really nice :-)

Hope to see many labels like that.


9 posted on 06/20/2019 6:59:56 AM PDT by Bobalu (McCain will be like Hell's Walmart greeter for the other traitors when they arrive.)
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To: woodbutcher1963

However, they will not be moving to the USA.

They want to keep their 99% profit ,90% is too low ,D’oh


10 posted on 06/20/2019 6:59:59 AM PDT by butlerweave
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To: butlerweave

The amount of labor per phone is $16!!!! Even if made in the USA the labor would still be minuscule compared to the retail price.


11 posted on 06/20/2019 7:01:48 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: maggief

If they’re just now starting to look into this, then they’re fools. They should have started looking and considering 2 years ago. Looks like they’re gonna get hit with a hefty tariff bill for being too slow to diversify their supply chain.


12 posted on 06/20/2019 7:08:48 AM PDT by FLT-bird
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To: FLT-bird

They should have started looking and considering 2 years ago.

This is mostly posturing to the Chinese.

Next up will be ‘Chinese Consumer Reports’ discovers an ‘amazing’ flaw in the iPhone, sales in China tank...


13 posted on 06/20/2019 7:15:44 AM PDT by DUMBGRUNT ("The enemy has overrun us. We are blowing up everything. Vive la France!"Dien Bien Phu last message.)
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To: central_va

You’re touching on the key point that needs to be made.

iPhones are already at the $1000 price point. Do we really want to move production to the US and see them sell for $1,200 and more?


14 posted on 06/20/2019 7:17:50 AM PDT by Responsibility2nd
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To: Responsibility2nd

One hour of US labor is NOT going to cost $200/phone LOL!!!


15 posted on 06/20/2019 7:21:55 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: Responsibility2nd

A $1,000 phone made in the USA would cost $1,050 If the entire amount of labor cost was passed on. My guess most of that would come out of the the $300/ph profit margin.


16 posted on 06/20/2019 7:23:50 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: Swordmaker

Apple *ping*


17 posted on 06/20/2019 7:40:00 AM PDT by dayglored ("Listen. Strange women lying in ponds distributing swords is no basis for a system of government."`)
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To: maggief

And Apple wonders how China steals their software.


18 posted on 06/20/2019 8:11:42 AM PDT by bgill
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To: maggief; ~Kim4VRWC's~; 1234; 5thGenTexan; AbolishCSEU; Abundy; Action-America; acoulterfan; ...
Apple is reported to be looking to move about 30% of its assembly business out of China. Apple already assembles iPhones in India and Brazil. Computers including the 2013 Mac Pro are manufactured in Austin, Texas, and Custom iMacs are assembled in Elk Grove, California, and Cork County, Ireland. —PING!


APPLE TAKING SOME ASSEMBLY WORK
OUT OF CHINA?
PING!

If you want on or off the Apple/Mac/iOS Ping List, Freepmail me.

19 posted on 06/20/2019 9:23:33 AM PDT by Swordmaker (My pistol self-identifies as an iPad, so you must accept it in gun-free zones, you hoplaphobe bigot!)
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To: woodbutcher1963
However, they will not be moving to the USA.

Apple already Manufactures the 2013 Mac Pro in Austin, Texas, and assembles custom iMacs in Elk Grove, California. A huge new plant is being built in Wisconsin right now. Many components of the iPhone and iPad are already built in the USA.

20 posted on 06/20/2019 9:25:54 AM PDT by Swordmaker (My pistol self-identifies as an iPad, so you must accept it in gun-free zones, you hoplaphobe bigot!)
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