The American firm assembles 90% of its devices in China. The aim would be to limit this excessive dependence.
The intensification of geopolitical tensions between China and the United States creates a climate of uncertainty that is detrimental to trade. It is not surprising to learn that a company like Apple is planning to relocate some of its production outside of China.
According to the Japanese daily Nikkei Asian Review, Apple would assemble 90% of its devices in the Middle Kingdom, the goal would be to reduce this dependence. To do this, between 15 and 30% of production could be relocated in the short and medium term. India where the firm already has assembly lines on the side of Bangalore for the production of iPhone SE would be the first track envisaged. Other countries would be studied such as Vietnam, Indonesia, Malaysia or Mexico. For the latter, the situation remains complex since the US President has recently introduced customs taxes.
According to sources familiar with the matter, a team of 30 people would work on the subject to negotiate new production plans, financial incentives and agreements with suppliers. Once this phase is over, it would take Apple about 18 months to start production.
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| Apple would be ready to relocate 30% of its production outside China |
The intensification of geopolitical tensions between China and the United States creates a climate of uncertainty that is detrimental to trade. It is not surprising to learn that a company like Apple is planning to relocate some of its production outside of China.
According to the Japanese daily Nikkei Asian Review, Apple would assemble 90% of its devices in the Middle Kingdom, the goal would be to reduce this dependence. To do this, between 15 and 30% of production could be relocated in the short and medium term. India where the firm already has assembly lines on the side of Bangalore for the production of iPhone SE would be the first track envisaged. Other countries would be studied such as Vietnam, Indonesia, Malaysia or Mexico. For the latter, the situation remains complex since the US President has recently introduced customs taxes.
Do not put all your eggs in one basket
One official said a number of factors were key to this shift in strategy: " a lower birth rate, higher labor costs and the risk of excessive centralization of production in a single country. do not go anywhere with or without final taxation of 300 billion dollars, Apple follows the great trend to offer greater flexibility . "According to sources familiar with the matter, a team of 30 people would work on the subject to negotiate new production plans, financial incentives and agreements with suppliers. Once this phase is over, it would take Apple about 18 months to start production.
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