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Politics : Formerly About Advanced Micro Devices

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To: i-node who wrote (981628)11/14/2016 3:24:45 PM
From: puborectalis  Read Replies (3) of 1573088
 
If President-elect Donald Trump pressures Apple ( AAPL) to manufacture more iPhones in the U.S., the move would backfire because of higher costs, says an analyst.

Apple's iPhone is manufactured in China by Taiwan-headquartered Foxconn and Pegatron. Brian White, analyst at Drexel Hamilton, says shifting iPhone production to the U.S. is "unrealistic."

"Many consumers would no longer be able to afford to buy an iPhone due to higher manufacturing costs," said White in a research report. "Moreover, we believe finding the workers with the willingness and skill set to assemble an iPhone in the U.S. at the volume levels required by Apple would be an insurmountable task. In China, workers generally are young, live in a dorm on the manufacturing campus and work very long hours.

"Even if the assembly of an iPhone occurred in the U.S., many of the components necessary to manufacture an iPhone are produced in China or elsewhere in Asia, thus shipment into the U.S. would prove costly."
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