San Francisco – President Donald Trump’s administration is predicting the customs barrage at China that will pressure Apple to make the iPhone in the United States for the first time.
However, this is an impossible situation, even in the United States now stand at 145% of the products made in China – the country that came to market the first model 18 years ago, Apple has made most of its iPhones.
These rules include a complex supply chain in the transfer of Apple’s production natively that it started in China in the 1990s. It will take years to build new plants in the United States and will take a few billion dollars and then deal with Apple with economic strength that can three times the price of the iPhone, which threatens the sale of its marquee product’s torpedo product.
“The idea of making the iPhone in the United States is a non-starter,” Wedbush Security’s analyst Dan Ives said, reflecting on a large number of investments in the investment community, which tracks each step of Apple. He assumed that the current $ 1000 dollar tag for the iPhone made in China or India would be over $ 3,000 if production was transferred to the United States and he believed that in the early 2028, “the price points would be transferred so dramatically, it is hard to understand.”
Apple did not respond to any request for a comment on Wednesday. The California Kapartino, the company has not yet been able to discuss Trump’s tariffs on China, but Apple CEO Tim Cook is expected to take questions from analysts during the quarterly conference calls for the company’s financial results and strategies.
And there is no doubt that Apple’s share prices have dropped by about 20%, and there is no doubt that the company’s market price has dropped $ 1 billion since Trump started expanding on April 2.
If the tariffs are held, Apple is expected to finally raise prices on iPhone and other popular products because the supply of Silicon Valley has been caught in the crossfire of increasing trade war in China, India and other foreign markets.
The big question is that before the tariff toll for the company’s profit margins and the customers are asked to keep some burden on the shoulder, how long Apple may agree to hold the line at its current prices.
Farrester Research Analyst Dipanjan Chatterji said that one of the main reasons for holding the line to determine the current iPhone pricing is China’s tariff because the company has a lot of profit margins from revenue generated by subscriptions and other services. This category, which Apple raised $ 96 billion in the last fiscal year, remained unclear by Trump’s tariff.
“Apple may increase tariff-induced expenditure without a significant financial impact in the short term,” said Chatterji.
Apple announced a plan to spend $ 1 billion in February and tried to satisfy the announcement of the appointment of 20.5 people in the United States by 2021, but none of them were involved in the construction of the iPhone. Instead, Apple promised to fund a Houston Data Center for computer servers for artificial intelligence – a technology that the company is expanding as part of the industry craze.
Trump believes that Apple was asked about whether Apple wanted to make an iPhone in the United States this week, the White House Press Secretary Karoline Levit points to Apple’s investment that the company thinks it can be done. “If Apple doesn’t think that the United States of America could do that, they probably didn’t put that big change,” said Liveit.
US Commerce Secretary Howard Lutnik also predicted that the tariffs would force a production shift during the April April in the CBS News Program. Lutnik said, “A few million and several million people’s army screws on the screws to create the iPhone, these things are about to come to the United States,” Lutnik said.
However, during the presence of 20 at a Chinese conference, Cook Lutnik suspected whether there was enough staff with vocational skills needed to work hard and exhausting.
Cook said, “Your tooling engineers may have a meeting in the United States and I’m not sure we can fill the house.” “In China you can fill in more than one football field.”
Trump also tried to press Apple to transfer the iPhone production to the US for its first term as president. However, the administration eventually released the iPhone from the tariff on China-when Apple announced a promise of $ 1 billion in US Trump’s first term tariffs in China, Apple also persuaded to launch a process, which caused some iPhones in India and some other products were made in Vietnam.
Cook also took the President on a Texas plant in 2019 where Apple had been combining some of his Mac computers for 25 years. Shortly after we finished, Trump Barack Obama had achieved the plant that Apple opened while he was president. “Today I have opened a large Apple Manufacturing Plant in Texas that will bring back a high pay job in America,” Trump posted on November 19, 2019.
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