Apple vs Trump: iPhones are unlikely to be made in the US, Apple exec implies

President Trump used to be very vocal about Apple's practices during his campaign. He believed that the iPhone should be manufactured in the United States, and not China. And despite not mentioning any of that in public after his inauguration, it's safe to assume that The Donald is still convinced that Tim Cook and company should move their manufacturing facilities to the US.

At a Goldman Sachs conference on Tuesday, Luca Maestri, Chief Financial Officer at Apple, addressed a question that stemmed from Trump's continued criticism of Apple's manufacturing facilities in China. He said:

While not directly saying whether Apple will start making iPhone on US soil or not, the answer Maestri gave makes us believe that Apple is looking to keep its factories in China. Furthermore, in order to gain some leverage, Apple is bringing up the argument that it's actually creating jobs in the US, just not in manufacturing.

However, the CFO didn't dismiss the idea of manufacturing iPhone in the US completely. “It's very, very difficult to speculate at this point,” he said, adding that the Trump administration has yet to take any actions towards encouraging US manufacturing.

Maestri also talked about taxes, and specifically – border taxes, which were repeatedly mentioned by the Trump administration. According to the Apple's CFO, nothing good will come out of a potential border tax. He said, “it is very hard for us to imagine that a border tax would be good for the US economy because it is a tax that would end up burdening the end consumer.”

For the time being, it appears that Apple is standing tall and not planning to change its planes for manufacturing. But only time will tell how this conflict will resolve in the end.

source: Apple via TheVerge



10. BradyCrack

Posts: 835; Member since: Dec 29, 2015

Good, they don't have a reason to anyway. Too many skilled workers and hard workers in china. Lol imagine how much more worse the note 7 fiasco would of been if they were made in America

68. marorun

Posts: 5029; Member since: Mar 30, 2015

Its funny basically he is threatening to put the tax on consumers head.. Well i guess governement need to take a different approach like the bigger the margin the bigger the corporate tax. increase it everytime apple increase price eventually iphone will be so pricy they wont sell anymore in USA.

69. kiko007

Posts: 7520; Member since: Feb 17, 2016

Which would be detrimental to every disease American who doesn't understand that shutting on your most prominent asset is ridiculous. Apple does what Apple wants because Apple has the control here, not Trump. Nothing he says or does changes the dynamics of the situation.

83. marorun

Posts: 5029; Member since: Mar 30, 2015

I do not beleive thats nothing can change. Anything can change with appropriate effort. ppl cry when Trump dont pay is tax ( but he bring load of job as well go look how big is company is and how many employee he have in USA ) But because apple give lots of job its okay they dont pay the appropriate tax. thats called double standard. So if we need to break eggs to make thing change well lets destroy them. Apple is not the most prominent Asset in USA ( for me an asset is the one thats pay the most tax first ) 2 smaller company thats make less profit pay more tax. Apple pay very lil tax compared to the money they make. i would say its the third most prominent asset. when Apple will pay its real share of tax then yes its will easily become the number 1. As for employee Apple do not have 2 million Real employee in the USA. App developper do not count as they are there own company. So in the end you are wrong. Apple has control as long as ppl like you will worship them like god as soon as the sales start to drastically go down they will change.

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