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Economy
Apple moves Mac Pro production to China from U.S.: Wall Street Journal
2019-06-29
(Reuters) - Apple Inc (AAPL.O) is shifting manufacturing of its new Mac Pro desktop computer to China from the United States, the Wall Street Journal reported on Friday, citing people familiar with the matter.

The move comes at a time when the Trump administration has threatened to impose new levies to cover nearly all imports from China and pressured Apple and other manufacturers to make their products in the United States if they want to avoid tariffs.

Last week, Apple asked its major suppliers to assess the cost implications of moving 15% to 30% of their production capacity from China to Southeast Asia, according to a Nikkei report.

"If true, suggests to me that Apple has tremendous confidence that the U.S. and China will be able to solve their trade dispute and do so in the near-future," D.A. Davidson analyst Tom Forte said in an email.

China is a key market for Apple as well as a major production center for its devices. The company got nearly 18% of its total revenue from Greater China in the quarter ended March.

“Like all of our products, the new Mac Pro is designed and engineered in California and includes components from several countries including the United States,” an Apple spokesman said. “Final assembly is only one part of the manufacturing process.”

Apple’s decision coincides with the end of tax subsidies that it got for making the desktop in a plant in Texas run by contract manufacturer Flex Ltd, according to the Journal.
Posted by:Besoeker

#8  And what sorts of backdoors will there be in the Mac Pros now?
Posted by: james   2019-06-29 23:05  

#7  I guess the US doesn't put enough Moslems in actual for-real concentration camps to make Apple happy.
Posted by: Thing From Snowy Mountain   2019-06-29 11:06  

#6  To #3 - I hear ya, Raj. They make me sick.
Posted by: DooDahMan   2019-06-29 09:31  

#5  Apple’s decision coincides with the end of tax subsidies

Saw this all the time back in PeeAye. The state gave Chrysler huge tax breaks to build a car assembly plant in Westmoreland County. When Chrysler nearly went belly up, the plant closed (even tho federal tax dollars then bailed out Chrysler) Then the state gave Volkswagen huge tax breaks to take over the plant. Tax breaks ran out, VW left. Then the state gave huge tax breaks to Sony to make TVs there. Then the tax breaks ran out...
Posted by: M. Murcek   2019-06-29 09:29  

#4  Start of the Elitists Diaspora? You wanted a one party system anyway. Don't let the door slam you in the back on your way out.
Posted by: Procopius2k   2019-06-29 08:48  

#3  God damn, do I fucking hate that snotty, pretentious company...
Posted by: Raj   2019-06-29 08:47  

#2  Apple. Bye bye.
Posted by: Woodrow   2019-06-29 07:49  

#1  You think are Apple products are affordable now? Wait for the 25+% tariffs.

For future Apple product purchasers, thanks for your contribution to the Trump Treasury. Good use of it will be made to return jobs to the USA.
Posted by: Flert Ebbeasing8240   2019-06-29 01:30  

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