Apple Remains in Trump's Crosshairs as Trade Advisor Again Criticizes China Reliance

[MacRumors]

U.S. trade director Peter Navarro took aim at Apple again today, causing the company's stock to briefly drop. In an interview with Fox Business, Navarro said that Apple thinks that it is "too big to tariff," suggesting that Apple might be expecting a tariff exemption that won't be coming.

Earlier this week, Navarro targeted Apple in a CNBC interview criticizing Tim Cook for failing to move Apple manufacturing from China to the United States. Navarro accused Cook of delaying the manufacturing shift, and called it "the longest-running soap opera in Silicon Valley." Navarro claimed that Cook is not moving fast enough to meet Trump's demands for U.S.-based manufacturing.

Navarro went on to say that it is "inconceivable" that Apple is not able to manufacture the iPhone elsewhere.

Going back to the first Trump term, Tim Cook has continually asked for more time in order to move his factories out of China. I mean, it's the longest running soap opera in Silicon Valley. And my problem with Tim Cook is he never takes the steps to actually do that. And with all these new advanced manufacturing techniques and the way things are moving with AI and things like that, it's inconceivable to me that Tim Cook could not produce his iPhones elsewhere around the world and in this country.

Apple is facing steep tariffs in China and other countries as the Trump administration renegotiates trade deals. This week, Trump has been announcing tariffs on various countries. The Philippines, Japan, South Korea, and Malaysia are facing 25 percent tariffs, while tariffs in Indonesia are at 32 percent and tariffs in Thailand are at 36 percent. Vietnam tariffs are 20 percent. The tariffs announced this week are set to go into effect on August 1, a new extended deadline Trump implemented on Monday.

U.S. President Donald Trump has said several times that Apple is capable of manufacturing its iPhones and other devices in the U.S., but industry experts suggest that it's next to impossible. Disregarding the expense of the move and the cost of building up new factories with advanced machinery, it would be unlikely that Apple and its suppliers would be able to find enough people with the necessary skillset to make iPhones. Cook maintains that Apple manufactures its devices in China because China has specialized expertise in advanced manufacturing.

Apple sources components from more than 50 countries around the world, and it gets rare earth minerals from 79 countries. There is no feasible way for Apple to source all of the iPhone's components from a single country. Even if Apple were only assembling the iPhone in the U.S., and it had the skilled employees available, the cost of living and wages in the U.S. would raise the price of the iPhone significantly.

Back in May, Trump threatened Apple with a 25 percent tariff if Apple does not manufacture and build iPhones sold in the United States in the U.S. Trump also complained that he has had a problem with Cook "building all over India," and he went as far as demanding that Apple stop expanding in India.

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Article Link: Apple Remains in Trump's Crosshairs as Trade Advisor Again Criticizes China Reliance

 

[DHagan4755]

Might as well tell Apple they need to manufacture their products on Mars. There's no way it can easily be moved to the U.S. It's a nice idea but if it were easy it would have been done already.

 

[JPack]

The Trump Phone no longer promises it’s made in America

American ‘design,’ built… where?

www.theverge.com

 

[blueicedj]

Meanwhile Trump launched his own phone which isn't made in the US (though they briefly claimed it was before walking back the claim). No doubt he wont face the same tariffs.

 

[kaycrystal626]

First, he is killing Tesla, now Apple. Is he trying to destroy American companies?

 

[t0rqx]

buy low sell high with the power of the white house. Insiders said it is to let NVIDIA stock get higher where some prominent figures have invested heavily. Market manipulation at its finest.

 

[Plutonius]

How is this a story ?

Of course the administration wants it made in the USA and Apple wants it made wherever it can make the most profit.

 

[GMShadow]

Cook maintains that Apple manufactures its devices in China because China has specialized expertise in advanced manufacturing.

I wonder who taught them the skills required for that manufacturing. 🤔

 

[klasma]

First, he is killing Tesla, now Apple. Is he trying to destroy American companies?

He might succeed without even trying.

 

[tim_apple]

What’s wrong with trade? I don’t understand.

 

[Yvan256]

Like him or hate him, Trump is asking Apple to do something that's basically impossible.

Let's take a basic example: could Apple source all the small and tiny screws for all their products from USA manufacturers only?

And if they could, would those manufacturers be able to meet Apple's tolerances and production volumes?

If the answer is no to something as basic as tiny screws, then you can easily imagine the rest of the components such as ribbon cables, machined casings and buttons, glued seals, LCD displays, cameras, RAM, CPUs, etc.

I'm all for the idea that each country should try to make their own products as much as possible, but it has to be within the realm of what's possible. As an example, I don't expect to be able to buy bananas grown in Canadian fields.

 

[Michael Scrip]

So if American companies should only manufacturer their products in America... then why did so many American companies move their production overseas in the first place?

And this isn't some recent thing... it's been happening for a looong time.

1950s Doc Brown was shocked to see "Made in Japan" on a component:

 

[racerhomie]

Navarro should learn basic Economics first! Before threatening Apple

 

[JohnC1959]

The administration needs to pick its battles. Instead of trying to get everyone to manufacture in the US, find which ones are good fits then stress incentives over tariffs

 

[SW3029]

Trump is the biggest threat America has ever faced

 

[Art Mark]

It's so weird that many conservatives want a business man to run the country and then vote for a guy with literally no business experience other than inflating real estate values. And who has declared bankruptcy 6 times...and is making the deficit bigger....so much winning...

 

[jlc1978]

Navarro should learn basic Economics first! Before threatening Apple

This is the same administration whose Ag secretary said Americans will replace immigrant labor in the fields, she should speak to a former governor of georgia and see how well that idea worked. My favorite is the farmer who complained his workers weren’t showing up due to fears of ICE raids, and then saying he doesn’t hire those eon a legal worker visa because they are too expensive and can’t hire Americans because they can’t do the work as efficiently or for the pay the farms offered.

 

[seek3r]

Navarro is the dude who made up his own pen-named source to cite in his writings so he could cite himself for fake data for his crazy bs. No one should ever trust anything that comes out of his mouth (or quill)

 

[seek3r]

This is the same administration whose Ag secretary said Americans will replace immigrant labor in the fields, she should speak to a former governor of georgia and see how well that idea worked. My favorite is the farmer who complained his workers weren’t showing up due to fears of ICE raids, and then saying he doesn’t hire those eon a legal worker visa because they are too expensive and can’t hire Americans because they can’t do teh work as efficiently of for the pay.

Even better: she said automation and medicaid recipients would, which gets more and more insane the longer you think about it

 

[Minato1990]

What a dumb piece of taco feces man
Entire administration is just one big gong show

 

[jlc1978]

Even better: she said automation and medicaid recipients would, which gets more and more insane the longer you think about it

Which makes that great American philosopher, Ron White, even more prescient:

“You can’t fix stupid. Don’t even try…”

 

[DocMultimedia]

Meanwhile Trump launched his own phone which isn't made in the US (though they briefly claimed it was before walking back the claim). No doubt he wont face the same tariffs.

And unfortunately his "followers" will most likely go out in droves to buy it.

 

[imamacperson]

Might as well tell Apple they need to manufacture their products on Mars. There's no way it can easily be moved to the U.S. It's a nice idea but if it were easy it would have been done already.

Or Apple doesn't want to because they make a LOT more profit if iPhones are made in China with the slave labor workers.

 

[JohnC1959]

Or Apple doesn't want to because they make a LOT more profit if iPhones are made in China with the slave labor workers.

Those workers are thrilled because conditions and compensation are a lot better than most other Chinese companies. Not as good as for some American workers, but definitely better than other American workers.

 

[hieranonymous]

Trump won’t even manufacture his own 💩y vanity merch in the US but he wants one of the largest corporations on earth to uproot its entire supply chain on his senescent whims.