President-elect Donald Trump reportedly told Apple CEO Tim Cook that with the right incentives, the company might be able to produce their devices in the United States. Trump said that Apple can actually build a number of plants in the U.S. According to him, this is a doable thing.
Foreign manufacturing partners
It is a known fact that Apple’s current manufacturing partners are located in countries like China and Vietnam. What the president-elect wishes is to persuade Apple to make their iPads, iPhones and other devices locally. So his idea is to provide the right incentives for the company to be able to build one or more plants in the U.S.
Donald Trump reportedly told his plan to Apple CEO Tim Cook when the latter called to congratulate him on his victory in the election. The president-elect would be extremely happy if this “great achievement” would be possible in the near future. Cook told Trump that he agrees and understands where his idea is coming from. Also, what he intends to do by implementing it. Reportedly, Microsoft CEO Bill Gates also called Trump and congratulated him on the victory.
Only one product is assembled in the USA
The only Apple device which is actually assembled in the U.S. is the 2013 redesigned Mac Pro, in a factory near Austin, Texas. But they can afford to do this with the Mac Pro because it is probably the company’s least selling device. But when it comes to the iPhone, Apple needs numbers. This is the main reason for which the phones are assembled in China, where there is a huge workforce. It would be almost impossible for Apple to get that many workers here in the U.S to assemble the iPhones. Also, the company is paying much lower wages over there than they would have to, in the U.S.
Reportedly, Apple is already considering Donald Trump’s idea and how much it may cost to do it. Still, a notable reason for Apple’s strategy might be Trump’s wish to introduce a 45 per cent tax on China imported products. This change might seriously affect the iPhone’s retail price. So this is something to consider.
Cook supported Hillary. Apple supported both
Apple CEO Tim Cook was an avid supporter of the Democratic nominee Hillary Clinton. However, Apple, as a company, supported both presidential candidates, without making any difference. So when news broke out that Donald Trump won the presidential race, Tom Cook asked his employees to continue working together and to keep pushing forward. He believed that the company’s future was uncertain and he wanted to reassure his employees that together they will continue making great devices.
All in all, we will have to wait and see if Tim Cook changed his opinion about Donald Trump. Also, if he will take into consideration his idea to make devices in the U.S. and to leave the China and Vietnam factories. If the president-elect will keep his word and introduce these incentives, things might just work well. And we will not see the “Designed in California. Assembled in China” writing on every iPhone box from now on.
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