At the end of 2018 we were talking about a report stating that Apple was considering reducing its dependence on China due to the trade war it has opened with the United States. In order to reduce it from Cupertino’s company they would be considering opening assembly factories in India to produce a part of their iPhone there. This idea is gaining strength according to a new report published today in The Wall Street Journal where it is stated that they are making progress in this direction.
In this report published in the American media, it is stated that Foxconn executives are preparing a project to open new factories in India , being already focused on the budget to start this construction, taking as a source a person close to these executives. One of the most influential executives as the president of Foxconn, Terry Gou, would be planning to visit India soon to study the construction plans.
In an official statement, Foxconn claims that they never comment on their current customers or those who will soon be so they have not been able to get any confirmation from this data. Apple has also refused to provide any explanation as one of its spokespersons has refused to respond.
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This series of information where they do not agree is on the devices that will be manufactured in India. Some bet that they will be the flagships of the company, those that incorporate OLED technology in their screens, so we would be talking in this case of the new iPhone XS and XS Max.
Obviously with this move Apple will be looking to us to sell these expensive devices in India, where they have very little commercial presence due to the price of their devices. The transfer of the production of part of their iPhone to India aims to not depend so much on China and therefore not be so tied by the trade war that is open with the United States.
If you remember, Trump was considering imposing a series of tariffs on all products exported from China, including those entering the Apple devices. This possible tariff in India would not end up being applied and that is why they are studying to find a new location for their factories.
We must wait to see the movements that Apple and Foxconn make in the future and above all we will have to see how relations between China and the United States evolve. Leave us in the comment box what you think of this new information provided by WSJ.