The trade war that the United States has actually released versus China threatens to impact Apple in a manner that is still not 100% measurable. The restriction on Huawei has actually resulted in a boycott of Apple items in China that might seriously impact your salesHowever a comparable veto by the Chinese federal government might be a disaster for the business based in Cupertino.
The president of the United States Donald Trump desires American business produce their gadgets in their own nation and has increased taxes on items imported from China as much as 25%. Some Apple items have actually currently been impacted, although at the minute the iPhone, iPad and other gadgets appear safe.
Nevertheless we do not understand when this scenario might alter, Apple might remain in problem whether the Chinese federal government does something about it or Trump increases the tariffs. However it appears that the business of the bitten apple has a "Plan B" in case among these 2 scenarios happens: produce the iPhone that they offer in the United States beyond China, and Foxconn guarantees that it is possible.
Apple can make US iPhones outside of China
As reported Bloomberg, important executives of Foxconn, one of Apple's biggest partners that is responsible for manufacture the vast majority of the business's iPhone, they assure that could move the production of the iPhone destined to be sold in the United States outside of China.
25% of our production capacity is outside of China and we can help Apple respond to its needs in the US market
The plan is simple, leaving the factories that Foxconn currently has in China dedicated to producing iPhone for the rest of the world and use factories located in other places, such as India, to produce the iPhone that will be sold in the United States.
Apple could be forced to take this step in the event that the trade war continues and increases its impact. We already saw that it's not easy for Apple to produce in other countries like the USA and that a easy screw can end up being a headache.