Rocket launch Trump was not enough to impress. The impression he wanted to produce not only on foreign but also on their own. Managed. American technological leader, Apple, in the form of an ultimatum proposed to collect things to move from Shenzhen to California.
The President of the United States in a trade war with China personal example shows how to beat the competitors. If the last election digging his caps, flags, magnets were made in China, the company’s 2020 production of Souvenirs was moved closer to the States. Now they are no longer in China, and near here, in Mexico or here in Haiti.
But one thing t-shirts, and quite another-tech products. It is estimated that Apple needs at least half a year to at least 5% of their production to withdraw from China.
The company for years have been building supply chains, taught staff. So quickly and just walk away — would be prohibitively expensive. This was stated by the tech giant. Trump encourages, promises financial aid and hasten.
“I can assist such American companies as Apple, a very short time until they do what needs to do is probably to leave China,” — said the American President.
As if there weren’t a few days of meeting Donald trump and Tim cook. Apple CEO then asked the President to think again. On the fingers explained that it’s more complicated than one good, the other bad. There is a third and he is in a trade war to win.
“Samsung is their competitor number 1, and Samsung does not pay duty because they are in South Korea. For Apple it is difficult to pay fees and compete with such good company. I thought he made a pretty convincing argument. So I think about it,” said trump.
The increase in duties were postponed until the end of the year, trump does not want to spoil the Americans Christmas shopping. The prices in the stores has not changed, but if prices will rise, and computers, phones will rise by at least 10%.
6 years ago Apple tried to settle in the homeland. The issue of computers were launched in Texas, but it did not happen. In the United States did not have the necessary infrastructure for production.
The flames poured today the Japanese Nikkei. Citing sources, the newspaper writes that Apple is currently testing displays for its future models. These flexible led screens, is developing the Americans, the Chinese company.
Donald trump is not the first American President who is trying to get Apple to bring manufacturing from China to the land of their brand. Obama, too, asked the same questions to the founder of the “Apple” of the Empire. He replied then simply: not a single American factory is not even close to be compared with the Chinese.
The Foxconn plant in Shenzhen gathers gadgets for a dozen global corporations. But the main line is under Apple products: 90% of all Apple products released here.
American journalists have repeatedly tried to unravel the secret of industrial success. And it is no longer in the cheapness of Chinese labor. Its just a lot. But a tax on production — one of the lowest. Plus the necessary to precision — rare earth metals — 90% is produced in China, while exports to other countries Beijing limits.
So it’s a logistics issue. Around build China concentrated all production system components. Of US here carry only the processors. So Apple CEO Tim cook on his page on Chinese social networks, and appeals to the Chinese audience: “so Much creativity in this town, glad to be back!”
Lee cook will write the same thing about returning to the United States — the big question. To bring even a third of the manufacturing base and not in the US, and neighboring Asian countries is to lose 10 to 15 billion dollars and at least half the year in the arrangement.
“If the outdated views of the United States to what is happening will not change if they are forever stuck in the mentality of the cold war, the fear in the relations between China and the United States we get rid of problems,” said Geng Shuang, a spokesman for the foreign Ministry of China.
The collapse of production, of course, will also affect China. Only a quarter of a million Foxconn employees. But in Beijing’s electronics stores don’t believe iPhones or iPads will cease to be made in China.
With the same speed with which China produces Apple gadgets, it and buy. Providing Apple a quarter of the proceeds — about $ 50 billion a year. And this despite the fact that with the beginning of trade tensions — local manufacturers are seriously pressed iPhones.
So as not to SAG even more, Apple is certainly looking at the experience of another American innovator. Elon Musk, despite the exhortations of trump, not just left China, but also rapidly continuing construction near Shanghai huge Tesla factory. The Chinese market was more important.
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