Foxconn Says It Has Enough Capacity to Make U.S. iPhones Outside of China If Needed

Foxconn says it has enough capacity to make all U.S. bound iPhones outside of China if needed, reports Bloomberg. Currently, the contract manufacturer assembles most smartphones in the Chinese mainland.

So far trade tensions between China and the U.S. have not significantly affected Apple; however, it's possible that either the U.S. or China could impose a tariff that would apply to iPhones manufactured in the country and shipped to the U.S.

Board nominee and semiconductor division chief Young Liu told investors that the company can help Apple respond should such a situation occur.


“Twenty-five percent of our production capacity is outside of China and we can help Apple respond to its needs in the U.S. market,” said Liu, adding that investments are now being made in India for Apple. “We have enough capacity to meet Apple’s demand.”

Liu said that Apple has not giving Hon Hai instructions to move production out of China but it is capable of moving lines elsewhere. Foxconn is currently running quality tests for the iPhone XR at its facility in India and reaffirmed on Tuesday that its construction in Wisconsin remains on schedule. The company says it will hire as many as 2,000 Americans by the end of 2020 and will begin making networking and server products for the United States, as well as LCDs, starting next year.

More details in the full report link below!

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