The iPhone may soon be made in the USA.
Donald Trump claimed during his campaign that he would force Apple to move production of its products back to America. According to a new report, Apple has already started looking into whether that would be possible.
Apple assembler Foxconn has been studying the possibility of moving iPhone production to the United States, reports Nikkei Asian Review.
“Apple asked both Foxconn and Pegatron, the two iPhone assemblers, in June to look into making iPhones in the U.S.,” the site claims. “Foxconn complied, while Pegatron declined to formulate such a plan due to cost concerns.”
iPhones made in America?
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President-elect Trump called for a boycott on Apple products after the company refused to comply with the FBI’s demands to create an iOS backdoor to unlock a terrorist’s iPhone. Trump continued to use an iPhone off and on after saying he was boycotting Apple.
Republicans aren’t the only politicians that have called for Apple to bring manufacturing back to the USA, though. Former presidential candidate Sen. Bernie Sanders echoed Trump, saying he wishes Apple would make more products at home instead of in China.
During an interview with 60 Minutes last year, Apple CEO Tim Cook said moving production back to the United States isn’t possible. Cook said some manufacturers would likely still keep jobs overseas, even if Trump puts a 45 percent tariff on Chinese imports, because production would still be cheaper.
Buster Hein is a freelance writer who lives in Phoenix, Arizona. Twitter: @bst3r.
7 responses to “Maybe Apple really will make iPhones in USA”
They also have to get the components made in USA too. I think if this happens, plan on higher prices.
Trump is a chump, he has very rude, obnoxious negotiation tactics. This isn’t necessarily good once people understand the ramifications of this. Expect stock prices to tumble, expect prices for all goods we purchase to go up, and expect lower sales, and expect a big mess.
The problem is not just moving assembly plants to the US, the biggest cost of the product is not labor, but component costs. Apple can absorb a small increase in labor costs, but not component costs.
Plus, it’s only bringing Mc jobs to the US. Mfg jobs for these types of products is STILL low wage jobs. We need more higher paying jobs.
Remember, the average income for the US is around $51K, the salary of the factory worker for these types of devices is more like $35K a year. That will lower the average income and this doesn’t really help to rebuild the middle class. This is only a stupid ploy by a stupid Politician. Trump isn’t a business person anymore, he’s a politician.
After 5 yrs I decided to quit my previous work and I am so happy now… I started doing a job online, for this company I stumbled upon online, few hrs a day, and I make much more than i did on my office job… Last check i got was for $9000… Amazing thing about this is the more time i got to spend with my family… CHILP.IT/8d93f4b
Wow, how brainwashed can you be when you think that building products in America and employing Americans again is a “stupid ploy.” You might want to read up about Henry Ford and how it relates to this story. You might learn something.
Mc jobs: 11 million undocumented immigrants in the United States…
Work or GET OUT OF HERE!
So, robots to make them in the USA. I don’t think that’s what Trump had in mind. (Actually, I think Trump doesn’t care, since most of his brand crap is made in China)
Most of everybody’s brand is made overseas because there’s practically no domestic textile manufacturers left here that can make anything.
Let’s say an iPhone sells for $500. How much of that price is manufacturing? $20? Most of the cost is going to be R&D, advertising, etc. Those costs are fixed regardless of where it is manufactured.
A 45% tariff would be ~$240. Way cheaper to pay an extra $10 to manufacture in US than $240 tariff.