Apple CEO Tim Cook: 'It's Not True That the iPhone is Not Made in the United States'

[curtvaughan]

I don't get it, how does assembling different components all over the world and shipping them back and forth is cheaper?
Don't they factor in manufacturing costs+shipping time?

It is indeed cheaper, because that's how rotten wages are for foreign laborers. It's cheaper to grow and harvest apples in China, pack and ship them to the US, and distribute them to the various grocery outlets than to grow them on a farm 50 miles from where you live and distribute them to the local grocery stores or farmers' markets.

 

[dilbert99]

How do you think they’ve amassed that money?

gouging and not paying their fair share of taxes in the countries the revenue was earned.

 

[supercoolmanchu]

Getting super tired of the half truths in the world today. Yeah sure some parts are made here, but most aren't. And y'all route your income through Ireland too so why's that? You wanna claim to be all SUPER USA, then bring your income home and pay your got dang taxes. And don't ask schools to pay $300 for ipads when they can't afford heat or to feed the kids. (because there isn't enough tax money for them)

So... SUPER USA looks for the best deals when selling SUPER TECH to the old world?

I fail to see the controversy.

Ireland’s long standing deal with Apple was part of an initiative to bring high tech jobs to a primarily agrarian economy. It’s a successor to a decades earlier program for bringing aviation jobs to Ireland, which helped create the backbone for transatlantic flights to Europe from SUPER USA. It’s certainly no secret, shady deal someone suddenly uncovered. It’s been a tremendous success for Ireland, distorting this is just petty political cockroaching by Brusssels.

So yeah, now Irish kids instead of looking at a future of farm work, also have local high tech jobs to pursue. What’s lost on most Americans, and seldom noted, is the lense of ancient European internal bigotry. The real sin committed by Ireland with Apple, is being closer with high tech, rather than staying ‘in their place’ as a farming province for continental elites.

 

[Crzyrio]

Getting super tired of the half truths in the world today. Yeah sure some parts are made here, but most aren't. And y'all route your income through Ireland too so why's that? You wanna claim to be all SUPER USA, then bring your income home and pay your got dang taxes. And don't ask schools to pay $300 for ipads when they can't afford heat or to feed the kids. (because there isn't enough tax money for them)

They pay their fair share of taxes.

Maybe they should stop spending 4 times the amount of your taxes on a military budget 4 times more than the next nation.

 

[brian3uk]

They pay their fair share of taxes.

Maybe they should stop spending 4 times the amount of your taxes on a military budget 4 times more than the next nation.

No disagreement from me regarding military spending. But paying in the 20% range when the statutory rate is 35% is a pretty sweet deal when you're a super rich company. I'd love a ~10% rate discount on my taxes

 

[TrentS]

Well I hope the iPhone stays manufactured where it is then. Cause American cars (made in America) are known to be the worst quality cars in the world. The assembly quality is basically **** on American made cars. Even on Tesla’s. No thanks!

You are mostly right there, except for the Tesla part. Tesla cars have been rated near the top in build quality.
[doublepost=1522335374][/doublepost]Trump be going after Bezos and Amazon now. Next up, Cook and Apple!

 

[alex00100]

If it's an "American company, it means that the high paid executives are officially U.S. citizens.

Haha couldn't have said it better myself!

 

[kruegdude]

Yikes! Even IF the parts are indeed made in the USA, they are then being shipped to China on a boat, which is polluting the environment to be assembled. The assembled phones are then shipped back to the USA on a boat, which again is polluting the environment.

So, yes it being assembled in another country is just as big of a deal as if the parts were made in another country. Now, if the USA is the only place the parts can be manufactured, then make them here and ship them to the countries where the phones will be sold to be assembled. In other words, assemble phones in the USA that are going to be sold in the USA, assemble phones that are going to be sold in China in China, assemble phones that are going to be sold in Canada in Canada, etc. Doing this will help spur the local economy of each of these countries, which means Apple could end up selling more phones there.

Yet those people in China use less toilet paper so your grasping at straws problem has been nullified.
[doublepost=1522338708][/doublepost]

2018 Hypocrite of the Year just given to Timmy. Obviously lobbying for China. He is scared to death. Too bad.

“Timmy”? How childish.

 

[Crzyrio]

No disagreement from me regarding military spending. But paying in the 20% range when the statutory rate is 35% is a pretty sweet deal when you're a super rich company. I'd love a ~10% rate discount on my taxes

Corporate tax rates in the US were long over due for a change. The US tax rate is about average now with other countries. And their financial models proves that the new tax rate is sustainable, hence it does not expire.

 

[Karma*Police]

But government subsidies, substandard/dangerous products(Chinese steel, pet food, regular food, etc...), and piss-poor working conditions are good for the world, right?

You can't have globalism, without a small few making out like bandits, and many others being hurt by it.

That's how it's always been... power and fortune have always been in the hands of the few. Globalism had the opposite effect... it's what allowed a lot of those piss poor working conditions to improve, and people in both developed and developing countries have benefited. We (developed nations) got lower priced goods and unemployed workers in developing countries got better jobs (relatively speaking).

Also, the role of government is to ensure products aren't dangerous and that resources are distributed efficiently. The former doesn't even require that much regulation... if a company hurts its consumers, they'll cease to exist very quickly.

If resources are controlled by too few people, as has been happening , then society will cease to function as it should, and that's how revolutions happen. The ultra wealthy used to pay upwards of 70% income tax just a few decades ago, but now they pay a little over 37%. It's not globalism causing inequality, it's the fact that the rich have the politicians in their back pockets.

 

[Endorphine88]

Yikes! Even IF the parts are indeed made in the USA, they are then being shipped to China on a boat, which is polluting the environment to be assembled. The assembled phones are then shipped back to the USA on a boat, which again is polluting the environment.

So, yes it being assembled in another country is just as big of a deal as if the parts were made in another country. Now, if the USA is the only place the parts can be manufactured, then make them here and ship them to the countries where the phones will be sold to be assembled. In other words, assemble phones in the USA that are going to be sold in the USA, assemble phones that are going to be sold in China in China, assemble phones that are going to be sold in Canada in Canada, etc. Doing this will help spur the local economy of each of these countries, which means Apple could end up selling more phones there.

In an ideal world, yes - this is how things should be done, but labor is much more expensive in the United States and this would drive the already high price of your iPhone to astronomical levels. Large companies have to do what's right for their survival and profitability and Apple is very transparent about how it manufactures its products.
This kind of thinking (USA above all) is what alienates us from the rest of the world and causes division. We all inhabit the same (mostly) round ball called Earth. It's time we think collectively as a species and not as separate countries.

 

[carpleror]

I don't understand why people think people in US deserve jobs more than people in other countries if the products are sold worldwide?

Because Apple is a US-based country. Also, I care about my economy, not the economy of Uzbekistan...

 

[apolloa]

He did not say anything about intelligence. But there is probably a lack of these kinds of skills and certainly in the quantity that Apple needs in one location. There is very little mass manufacturing skills left in the US.
[doublepost=1522291183][/doublepost]

Only non-US sales have gone through Ireland. All the sales in the US goes through a US company and are taxed normally in the US, which makes Apple the largest federal tax payer in the US.

Also, for every dollar of tax Apple pays outside the US, means one more dollar less in federal tax.

Maybe but it’s not hard to bring them back, but Apple won’t do that..

And I’m pretty sure the US manufactures a fair bit.. but meanwhile here in the U.K. today shareholders of GKN voted to accept a hostile takeover by an asset striping investment corporation... so that will no doubt in a few years be several thousand manufacturing and R&D jobs gone.

 

[phillipduran]

Boy he sure is climbing that tree and exerting a lot of effort to say, "any new jobs are not because of Trump!".

Tim, Apple is making the landscape for business much easier, much more inviting, and hes lowering the tax burden. This mean you have MORE options when it comes to employing people. You can say it isn't political pressure, fine, fair enough, but you can't deny that Trump based policies are putting businesses in a better position to be able to hire the labor they need. Since you're swimming in cash, you can say you're not effected by politics, but why are you spotlighting that fact? We know Trump policies have a very positive net effect on business. I'm MASSIVELY (im not) surprised that the news media who covered all of Obamas jobs outlook is turning a blind eye to the low unemployment under Trump. I think Tim is a part of this disinformation problem were having with his focus on employment credit.
[doublepost=1522351156][/doublepost]

American patriotism is always mind boggling to me

In this nation, it's about us. Not the emperor. In this nation, all of us are the Kings and Queens, not the fat guy sitting on the posh throne. Here it is about our rights, not the governments needs. We restrict our government (or at least thats how were made and were in the process or reigning in their recent unchecked power) We're patriots because this nation is one we made for us to be free. We've had black presidents, woman candidates, men in cabins who educate themselves then become president. We've tamed a wild nation, and we've become a super power.

We're patriots and we love this nation with all of our heart because it belongs to each and everyone one of us who call it home.

 

[Huntn]

I predict that as soon as an automated assembly line is up and running, very few people will have associated assembly jobs. Of course as a US based company I would prefer those phones were manufactured in the US. Just as Germans I assume would prefer their BMWs are made n Germany, French prefer Louis Vuitton merchandise made in France, and the English would prefer Guinness to be brewed in country. As I said in another thread, I was disappointed when I learned my Fiat 500 was made in Mexico.

 

[Substance90]

It's an AMERICAN COMPANY.

For cripes sakes. SMH.

How so? More than half of the shares are owned by foreigners and more than half of the revenue is from abroad.

 

[alex00100]

Because Apple is a US-based country. Also, I care about my economy, not the economy of Uzbekistan...

What does that mean?

How so? More than half of the shares are owned by foreigners and more than half of the revenue is from abroad.

Exactly.

 

[I7guy]

How so? More than half of the shares are owned by foreigners and more than half of the revenue is from abroad.

Because who buys the shares is not relevant to where the company is headquartered? If the metric is where are the shares owned, the US government is owned by China.

 

[Mr Staunton]

Who cares, more money for Apple means more projects to work on.

 

[citysnaps]

How do you think they’ve amassed that money?

I'm going out on a limb here... How about selling premium products at premium prices that millions of people want and are willing to open their wallet to purchase, year after year.

 

[AgentAnonymous]

I don't understand why people think people in US deserve jobs more than people in other countries if the products are sold worldwide?

Apple is an American company.

 

[Tech198]

gouging and not paying their fair share of taxes in the countries the revenue was earned.

Well, it's not like Apple is the only one that does this, right ?

Who cares, more money for Apple means more projects to work on.

if your business is doing the same thing, i would still care as an employee.

 

[I7guy]

gouging and not paying their fair share of taxes in the countries the revenue was earned.

Who is gouging and who is not paying their fair share of taxes. The last I looked it’s impossible to gouge your customers when buying your product is strictly voluntary. Additionally, no one has accused Apple of tax evasion, which is illegal.

 

[AZ63]

American patriotism is always mind boggling to me

Why?
[doublepost=1522635016][/doublepost]

For this product or any tech product, I don't really care. Everything is made or touched in China/Taiwan

OT -- but for cars, I care to some extent. When I bought my Subaru, it was actually shipped from Japan to Long Beach. And when I bought my Audi it was also shipped from Germany to Long Beach. I was not a fan of quality control in Mexico or USA back then for those cars at the time.

Germany to Long Beach, that is one long boat trip. That seems crazy.

 

[ipponrg]

Germany to Long Beach, that is one long boat trip. That seems crazy.

Not as crazy as it sounds. It only took 3 months for delivery, and it's quite common for Audi/BMW/Mercedes special orders. Forgot to mention this is Long Beach, CA, which is a major west coast port.