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Apple have the budget and the interest to investigate their supply chain and provide a good answer to this. Outside sources probably don't :/ My uninformed spe
by TazeTSchnitzel 4y ago
Apple have the budget and the interest to investigate their supply chain and provide a good answer to this. Outside sources probably don't :/
My uninformed speculation would be that the answer is something like 90% China for each hop along the chain, but those accumulate. 0.9^n becomes small with large enough n, so depending on the viewpoint it might be majority non-China…
- mikymoothrowa 4y agoit’s no where close to 90% https://www.apple.com/supplier-responsibility/pdf/Apple-Supplier-List.pdf https://www.apple.com/supplier-responsibility/pdf/Apple-Supp...
- verdenti 4y ago
- boole1854 4y ago> My uninformed speculation would be that the answer is something like 90% China for each hop along the chain, but those accumulate. 0.9^n becomes small with large enough n, so depending on the viewpoint it might be majority non-China… If the cost allocated to China is 90% at each 'hop along the chain', then the total going to China across all hops is 90%, not 0.9^n. (This isn't like probability theory -- adding more links in the chain doesn't decrease the costs of earlier links.) In any case, I have not found more recent estimates, but in 2018 one author estimated that only 3.5% of the manufacturing cost could be allocated to China. Their competitive advantage is in final assembly, but most of the pricey components are sourced elsewhere: https://theconversation.com/we-estimate-china-only-makes-8-46-from-an-iphone-and-thats-why-trumps-trade-war-is-futile-99258 https://theconversation.com/we-estimate-china-only-makes-8-4...