Apple cannot just pack up and move iPhone production to a new country
Apple can’t just pick up iPhone production and move it to another country. It needs to find an area where factories can be built, qualified workers can be found, and suppliers are nearby to deliver components in the quantity and quality that Apple needs. One country where Foxconn already builds certain iPhone models is India. Originally, Foxconn built older iPhone models in the country to avoid an import tax on units shipped into the country.
Foxconn workers in Zhengzhou leaving the campus last month after the government instituted a COVID crackdown
Besides investing in India, back in August Foxconn agreed to sink $300,000 into a plant in Vietnam that will expand production there. Vietnam is another country, besides India, that Apple has reportedly considered as a replacement for China.
Apple is reportedly getting more aggressive with its plans to move iPhone production out of China
Foxconn appears to be spreading its investments all over the place. Last week it spent $58.98 million on an investment in the Czech Republic. That is where the manufacturer makes smartphones, displays, and cloud servers. Foxconn also has research and development centers in that region. At the same time, Foxconn put $142 million into its unit in Taiyuan, China which it considers a long-term investment.
Apple is hoping that in five years, its supply chain looks a lot different than it does now.