iPhone Maker Foxconn Says China's 'Days as the World's Factory Are Done'

[threesixty360]

This is normal considering that China is now wealthier and labour costs will be more than in countries like Vietnam or India.
What I do find fascinating is that Foxconn is a Taiwanese company. The way China has been gesturing recently just feels like everyone is on a collision course right now.

 

[Rigby]

These jobs will not return to the US, but diversifying the supply chains should reduce risks and bring more stability to the markets. But it remains to be seen how serious companies like Foxconn actually are about this. I suspect many of these statements are primarily made to placate Trump. Also, China has been steadily climbing up the value chain, they are no longer dependent on manufacturing alone.

 

[PBG4 Dude]

So this ridiculous obsession with smart phones and the zombie populations they have created could have been avoided if Apple had kept manufacturing in the US. Damn shame they looked abroad and found their nirvana.

Reminds me of something I saw once:

“What new and exciting place will you be staring at your phone this weekend?”

 

[thejadedmonkey]

If I were Foxconn, I wouldn't have said that out loud unless they are wanting help from their customers to expand operations outside China at a faster rate and then I don't think I say that out loud until I'm gone.

Unless they're trying to push China for concessions? Or unless the relationship between China and the rest of the world has deteriorated so much (e.g., due to China accidently unleashing a pandemic, hypothetical of course) that China already knows.

 

[Expos of 1969]

Reminds me of something I saw once:

“What new and exciting place will you be staring at your phone this weekend?”

Ha. No offence intended to Japanese folks but years ago we used to say that Japanese tourists would only know where they had been when they got their film back from the corner developing kiosk once home.

 

[ilikewhey]

Anything that hurts China is a win for everyone else.

This doesn’t hurt China, At leaset not a whole lot, the avg income has creeped up so much so it’s no longer viable to have it in China.

 

[tridley68]

It's about time they. Send China packing

 

[incoherent_1]

It's a shame in the end, as all it will do is hurt the Chinese people and their economy. But the CCP has no one to blame but itself for its economic policies and aggressive posture over the last several years.

I respectfully disagree. Here’s the theory I’ve heard promoted by western political theorists (I’m not saying it’s right or wrong or that I agree or disagree with it): Over the last 50 years, China has made a Faustian bargain with its people: give up large amounts of your civil liberties and we’ll raise everyone from poverty and make you wealthier. That arguably only works insofar as foreign corporations are complicit in that by operating in China. If foreign capital dries up, the Chinese government may realize it’s facing millions of citizens who want a change of government.

It’s pushing for political change through economic means. Foxconn is a Taiwanese company, so it’s no surprise that’s their political orientation. What’s new is that they’re willing to state it so boldly.

 

[TheYayAreaLiving 🎗️]

China blew it! I'm surprised the operations are still running!

 

[EugW]

So this ridiculous obsession with smart phones and the zombie populations they have created could have been avoided if Apple had kept manufacturing in the US. Damn shame they looked abroad and found their nirvana.

 

[Expos of 1969]

View attachment 943467

First photo is the way to go. Throw the paper away once finished or keep it to help keep the cold air from coming in the single pane windows at home
Or for the bottom of the bird cage or to wrap the fish and chips

 

[TheHateMachine]

View attachment 943467

I was going to post something similar, thank you.

 

[Macaholic868]

Good. We must bring more manufacturing capacity to the USA. It’s a national security issue as the pandemic and lack of USA made PPE has shown. China is not a friend to the USA, the west nor to democracy and freedom. We need the ability to manufacture things here. Especially in the years to come as China becomes more and more aggressive militarily.

 

[H2SO4]

In other words, the remaining poor countries will now do the cheap labour.

This, and quite frankly all of those companies bow to the might dollar.
We'll see how long this lasts.

 

[nylon]

I respectfully disagree. Here’s the theory I’ve heard promoted by western political theorists (I’m not saying it’s right or wrong or that I agree or disagree with it): Over the last 50 years, China has made a Faustian bargain with its people: give up large amounts of your civil liberties and we’ll raise everyone from poverty and make you wealthier.

What? They never had any civil liberties since Mao's revolution so what was there to give up exactly. Raising someone out of poverty does not require the abondonment of civil liberties. These things are not mutually exclusive.

 

[JPack]

This is normal considering that China is now wealthier and labour costs will be more than in countries like Vietnam or India.
What I do find fascinating is that Foxconn is a Taiwanese company. The way China has been gesturing recently just feels like everyone is on a collision course right now.

More importantly, it reveals the lack of investment into automation by Foxconn.

If you look at Chinese domestic smartphone brands, many of them are assembled using highly automated equipment. Luxshare, the maker of AirPods, is buying an iPhone factory from Wistron in China precisely because they’re betting on full automation in the future to compete with Foxconn.

 

[gnasher729]

I want to say I'm with you on this one but seeing those tech companies being bias against Trump there is NO WAY other countries will allow these companies doing what ever they want. They'd mess up every government that is not hard left.

Please explain who you mean by "those tech companies". Apple or Foxconn? And how are these companies messing up any government? I mean I don't mind you ranting, but please explain what you are actually ranting about.

 

[jlocker]

History as your guide. In the early 70's Communist China had gotten the atomic bomb. So we had two choices 1. By opening up the world markets to China, the country would start to transform to a more democratic society and become a friend to other countries. or 2. We would have to bomb them and wipe out a billion people on plant earth. Well we did number one and China continued to take advantage of the United States when it was clearly 20 years ago they were no longer a third world country. Stealing US technology secrets and not playing fair once the reached a level play field with the United States.

So they are now learning a lesson about how to be a responsible country on planet earth. There has been 20 years of damage done to the US economy, it is going to take 20 years to repair it. All China had to do was not cheat and become more of a open society. The party in charge decided they like the power more then their people and other people of the world.

What did Japan do once they started beating the US car companies they open factories in the US to help workers have jobs so they could buy the products they were making. And the same with South Korea with other technology.

Maybe China will see their errors of their ways and will transform themselves to what they should have done.

 

[PBG4 Dude]

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Now post the olde-tyme picture of someone walking into a fountain while reading the newspaper. You know, something to match today’s version (go to the 16 second mark):

 

[kring]

This is what's needed to happen for a while - good to see Foxconn becoming vocal, I expect more to follow suite.

I have a feeling that globally, ANY company doing ANY business with China will be looked at (rightfully) as embarassing in the next 2 years... Companies will all be spending significant money over the next two years tactically extracting from any Chinese involvement. Even if it means more costs and increase prices - the corporate "responsibility" requirements will drive them out and force the hands of smaller suppliers to pull out of China, it will be like doing business with terrorist organizations. This will be their cost for global interference and our response to their deliberate global spread of COVID-19.

This election is the most important election in 100 years. The issue; if Biden were to win - he will go back on his knees for China, roll everything back, send them all your taxes and beg for forgiveness of China. He has no spine and no interest in doing what's right for this country and the world. He's here only to give comfort to all the Screamin' Karens, cause they are most important in this world! Regardless of how bad a fool Trump makes himself out to be, it's the underlying policies, decisions that should be looked at not his idiotic tweets and other dumbass statements.

People today so easily forget that we really only had two choices, Hillary or Trump - we DID make the right choice at the right time 4 years ago.... Hillary would have been a disaster. Now we have another hard choice... and I think it will be close because enough people are smart enough to push emotions aside and think logically about what's best for this country, while unfortunately too many will be deliberately making the wrong choice based on irrelevant emotions and against any logic.

 

[LeeW]

Long overdue and given the recent climate it needs to be accelerated, far too much dependency on China.

 

[ian87w]

Foxconn is a huge manufacturer ... this is a big deal.

China (i.e., the CCP) blew it and are now paying the price.

All China need to do is to take over Taiwan, and Foxconn automatically becomes a Chinese company.

 

[ian87w]

Imo this is a good thing overall. India and SE Asia really need these manufacturing plants and jobs, especially with the upcoming recession after COVID. Also, it's about time some attention is put towards SE Asia. China has proven itself to be a really sharp double edge sword, and Western companies who were tempted by Chinese money are now tasting the bitter pill with the trade war and COVID.

Of course, China is also working to conquer the rest of Asia economically with their many infrastructure projects.

 

[Chaos215bar2]

I want to say I'm with you on this one but seeing those tech companies being bias against Trump there is NO WAY other countries will allow these companies doing what ever they want. They'd mess up every government that is not hard left.

Are you actually so far out of touch with reality that you believe the thing other countries will take issue with regarding these platforms is their moderation of made up, political talking points designed to whip up the Republican base in the US, and not their general disregard for user privacy.

Maybe MacRumors shouldn't promote posts to the front page based only on "positive" votes, ignoring the negative ones. (I'm not sure even all the laughing emojis on this one are actually upvotes.) Promoting partisan political talking points with no basis in reality to the front page of an article isn't exactly a great look. It would be better not to show any promoted posts than to display this sort of nonsense along side the usual reporting.

 

[iZac]

To be forthright, if nothing else this is a good (ruthless) economic decision in so much as wages are getting too high in China. Foxconn needs to find cheaper labour forces.