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This analysis doesn't look realistic, for at least this reason: 1. Apple is making a serious margin on its hardware. Especially storage is marked up to stupid l

This analysis doesn't look realistic, for at least this reason: 1. Apple is making a serious margin on its hardware. Especially storage is marked up to stupid levels. 2. Apple is sitting on lots of cash. They have the means to shift at least some of the assembly to the US (or somewhere with 10% tariff), pay the China tariff on the actual price of components, sell at the inflated value of components+assembly as usual. The tariff would impact only a smaller part of the retail cost.

StopDisinfo910 2y ago
The analysis is a bit wild but Apple (and all American hi-tech manufacturers if we are being honest) is in a difficult situation. The issue is that wherever you shift production you will be significantly destabilising their trade balance with the USA. You can optimise but tariffs will probably be bad anywhere you go. Plus China hold sway on some critical part of the supply chain like minerals and it’s virtually impossible to cut them out on a short time frame. On shoring could be a solution but the USA simply can’t fulfil the demand of its whole value chain without significant investments and who will be crazy enough to make long term investments in such a volatile environment.
- kashunstva 2y ago
  > China hold sway on some critical part of the supply chain like minerals… And industry personnel - skilled and otherwise, who are willing and able to staff the U.S.-based factories. (Which apparently will very shortly be booming.)