iPhone production could head to Vietnam to avoid U.S. trade tariffs

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iPhone XS box gold
Designed by Apple in California. Made in Vietnam?
Photo: Ste Smith/Cult of Mac

iPhone assembly partner Foxconn is considering the possibility of opening a new facility in Vietnam in an effort to avoid U.S. trade tariffs.

The factory would focus specifically on iPhone production, according to a new report. Vietnam Chamber of Commerce and Industry Vu Tien Loc says talks with Foxconn are underway.

Foxconn denies US plant will be staffed with Chinese engineers

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Foxconn
Foxconn is moving to the U.S.
Photo: Foxconn

Apple’s top manufacturing partner Foxconn is denying a recent report from the Wall Street Journal that the company is looking to staff its new Wisconsin plant with employees from China.

Foxconn allegedly plans to bring engineers to fill a gap in prospective talent due to a tight labor market, the Journal claims. The plant has already been scaled back in size. Adding Chinese laborers instead of creating American jobs would certainly cause even more controversy.

Apple just leased another massive facility in Silicon Valley

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McCarthy Creekside 2
A render depicting one part of the new McCarthy Creekside facility.
Photo: McCarthy Creekside

Apple has snapped up a 10-year lease for a large, 314,000-square-foot warehouse in Milpitas, California, approximately a fifteen minute drive from Cupertino.

The space is located at McCarthy Creekside, a new multiphase development located in the city of Milpitas. Apple is reportedly paying in the vicinity of 90 cents per square foot. According to developer Joey McCarthy, McCarthy Creekside is intended for “industrial, R&D, [and] manufacturing.”

Apple switching suppliers to cut production costs

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Apple
You don't get to $1 trillion without knowing a thing or two about saving cash.
Photo: Apple

Apple may have just passed the $1 trillion mark, but it’s still looking for ways to save money. In its efforts to keep manufacturing costs as low as possible, the company is supposedly shifting production for its various devices from Taiwanese suppliers to Chinese ones.

iPhone maker slams China’s overtime caps

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Foxconn
Foxconn's CEO says China's overtime rules are too strict.
Photo: Foxconn

Foxconn could assemble even more iPhones if China eased restrictions curbing factories from abusing overtime, the company’s CEO says.

Billionaire Terry Gou says China’s rules on overtime keep workers from earning more and puts limits on Foxconn’s competitive edge.

Apple has a new plan for cutting down manufacturing costs

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MacBook butterfly keyboard
Apple is now handling ordering for even tiny components like MacBook screws.
Photo: Apple

Apple is known for exerting a lot of control over the manufacturing of its products, and it’s reportedly set to ramp up this control even further.

Beginning with its new MacBook models, Apple will reportedly carry out direct pricing negotiations for the screws and assorted non-key metallic and plastic parts used on its devices, which are currently purchased directly by its contracted supply partners.

iPhone manufacturer accused of using unauthorized parts

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iPhone 8
Incident allegedly occurred at a factory manufacturing iPhone 8 Plus models.
Photo: Ste Smith/Cult of Mac

Apple has reportedly suspended production at one of its iPhone manufacturing plants in China as the result of the use of unauthorized components.

The story concerns a Wistron plant in Kunshan, China, where the iPhone 8 Plus is manufactured. Production has allegedly been suspended for two weeks, although Wistron insists that this is not true and that, “operations remain completely normal.”

Does iPhone X show that Apple’s ‘lost its supply chain mojo’?

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iphone X3
Apple's supply chain may no longer be quite so brilliant.
Photo: Apple

Apple has “lost its supply chain mojo,” claims a new report, suggesting that this year’s iPhone refresh has highlighted that Apple’s once-enviable supply chain brilliance is no longer quite so, well, brilliant.

While there have been component issues Apple has dealt with in the past, this year’s iPhone X manufacturing process has been particularly prone to problems, with the upshot being that supply of the in-demand device is unlikely to match with demand until well into 2018.

Trump claims Apple will build 3 ‘big big big’ plants in U.S.

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Peter Thiel separates Tim Cook and Donald Trump at tech summit.
Peter Thiel separates Tim Cook and Donald Trump at tech summit.
Photo: Sean Spicer/Twitter

Apple plans to build new manufacturing plants in the United States, according to President Donald Trump.

In a recent interview, Trump claimed Apple CEO Tim Cook promised to help revitalize American manufacturing by building “three big plants, beautiful plants.” Trump didn’t say what the plants would be used for or where they would be located. But he swears they’re coming.