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> Apple has spent many years happily profiting from cheap Chinese manufacturing, labor, electrial engineering expertise and supply chains to the point where the

> Apple has spent many years happily profiting from cheap Chinese manufacturing, labor, electrial engineering expertise and supply chains to the point where they are now completely beholden to a foreign country. Up to a point there's a cost advantage, but Tim Cook has also pointed that Apple uses Chinese factories because it allows them to take advantage of the local manufacturing capabilities, which are substantial. [0] In fact to hear him tell it those capabilities are simply not available elsewhere. I take him at his word on this topic at least. [0] https://www.inc.com/glenn-leibowitz/apple-ceo-tim-cook-this-is-number-1-reason-we-make-iphones-in-china-its-not-what-you-think.html https://www.inc.com/glenn-leibowitz/apple-ceo-tim-cook-this-...

quantumwannabe 4y ago
Tim Cook also invested a third of a trillion dollars in China because they did not have the manufacturing capabilities to build the iPhone how Apple wanted at the time of the investment. [1] [1] https://www.businessinsider.com/apple-tim-cook-275-billion-china-deal-regulatory-crackdown-report-2021-12 https://www.businessinsider.com/apple-tim-cook-275-billion-c...
- Torifyme12 4y ago
  And Cook mocked the US because we didn't have the right tooling to make screws for his Mac pro, he went all over the news and kept spewing how bad our industrial sector was. One of the tooling engineers that had previously worked with Apple before they were offshored said, "Well, we couldn't wait around for him to come back to us, we have to eat too so we switched to making different things. He's welcome to invest in our production and we'll make whatever he wants" Cook loves helping out China, not sure why. /s
- arvindamirtaa 4y ago
  A somewhat warped understanding on "manufacturing capabilities". While Apple may have had to spend money setting up the specific assembly line, fabrication plants, train staff, etc because they simply didn't exist prior to their requirement, the fact that they were able to set it up someplace, and continuously feed raw materials, parts, labour etc with dozens of redundant suppliers for EACH component, is what indicates manufacturing capability. Manufacturing is more ecosystem than "capability".
s3r3nity 4y ago
> In fact to hear him tell it those capabilities are simply not available elsewhere. This is a huge overlooked factor in all of the debate regarding the supply chain. You can't "just move" manufacturing capabilities from one place to another, and debate the labor costs. Rather, probably more importantly, there's actually a _skills supply_ problem.
- leereeves 4y ago
  People will learn the skills if the demand exists. That's what China did and Americans can do it too if multinational companies support US manufacturing.
  - throwaway894345 4y ago
    America doesn't allow the labor or environmental manufacturing conditions that allow China to compete so effectively. We need border adjustments such that goods coming from countries with lesser labor or environmental protections cost more and those coming from countries with better labor/environmental protections cost less (it also has to be transitive so China can't just launder their products through the Czech Republic--i.e., the Czech Republic would have to have a similar border adjustment policy in order to qualify).
    - leereeves 4y ago
      Companies don't have to buy from the lowest bidder. Apple could choose to support manufacturing in countries with better labor/environmental protections without any new laws. I think border adjustments are also a good idea, but I won't give Apple a free pass for choosing to support such poor manufacturing conditions just to make more profit.
      - praptak 4y ago
        No, because then they'd get easily undercut by competition without such ethical scruples. This is a tragedy of the commons problem, you need central enforcement.

quantumwannabe 4y ago

Tim Cook also invested a third of a trillion dollars in China because they did not have the manufacturing capabilities to build the iPhone how Apple wanted at the time of the investment. [1] [1] https://www.businessinsider.com/apple-tim-cook-275-billion-china-deal-regulatory-crackdown-report-2021-12 https://www.businessinsider.com/apple-tim-cook-275-billion-c...

Torifyme12 4y ago
And Cook mocked the US because we didn't have the right tooling to make screws for his Mac pro, he went all over the news and kept spewing how bad our industrial sector was. One of the tooling engineers that had previously worked with Apple before they were offshored said, "Well, we couldn't wait around for him to come back to us, we have to eat too so we switched to making different things. He's welcome to invest in our production and we'll make whatever he wants" Cook loves helping out China, not sure why. /s
arvindamirtaa 4y ago
A somewhat warped understanding on "manufacturing capabilities". While Apple may have had to spend money setting up the specific assembly line, fabrication plants, train staff, etc because they simply didn't exist prior to their requirement, the fact that they were able to set it up someplace, and continuously feed raw materials, parts, labour etc with dozens of redundant suppliers for EACH component, is what indicates manufacturing capability. Manufacturing is more ecosystem than "capability".

s3r3nity 4y ago

> In fact to hear him tell it those capabilities are simply not available elsewhere. This is a huge overlooked factor in all of the debate regarding the supply chain. You can't "just move" manufacturing capabilities from one place to another, and debate the labor costs. Rather, probably more importantly, there's actually a _skills supply_ problem.

leereeves 4y ago
People will learn the skills if the demand exists. That's what China did and Americans can do it too if multinational companies support US manufacturing.
- throwaway894345 4y ago
  America doesn't allow the labor or environmental manufacturing conditions that allow China to compete so effectively. We need border adjustments such that goods coming from countries with lesser labor or environmental protections cost more and those coming from countries with better labor/environmental protections cost less (it also has to be transitive so China can't just launder their products through the Czech Republic--i.e., the Czech Republic would have to have a similar border adjustment policy in order to qualify).
  - leereeves 4y ago
    Companies don't have to buy from the lowest bidder. Apple could choose to support manufacturing in countries with better labor/environmental protections without any new laws. I think border adjustments are also a good idea, but I won't give Apple a free pass for choosing to support such poor manufacturing conditions just to make more profit.
    - praptak 4y ago
      No, because then they'd get easily undercut by competition without such ethical scruples. This is a tragedy of the commons problem, you need central enforcement.