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Apple supplier Luxshare is weighing the possibility of manufacturing some products in the United States as it seeks to address the implications of new tariffs on goods exported from China, Reuters reports.

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The comments were made by Luxshare chairwoman Wang Laichun during a telephone call with analysts, the transcript of which was seen by Reuters. Luxshare is one of Apple's key suppliers and plays a major role in the production of high-end iPhone models, AirPods, Apple Watches, and the Vision Pro.

In the call, Wang noted that while the United States' newly imposed tariffs would have limited short-term financial impact due to the small volume of finished goods Luxshare currently exports directly to the U.S., the company is nonetheless examining its global investment strategy with an eye toward reducing exposure to future trade disruptions. She said that the company may idle certain investment plans in China while evaluating new facilities elsewhere, including in the United States.

In addition to its operations in China, Luxshare has manufacturing and research facilities in several countries including Malaysia, Thailand, Vietnam, Mexico, and the United States. Its presence in the U.S. remains limited, and the company did not provide further detail about where or when any potential expansion in American manufacturing might occur. However, Wang emphasized that any move to develop new production lines in countries where the company already operates would take approximately 12 to 18 months.

Note: Due to the political or social nature of the discussion regarding this topic, the discussion thread is located in our Political News forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Article Link: Key Apple Supplier Eyeing Production Move to US in Response to Tariffs
 
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Oh my goodness, industry moving back to the United States. Who would’ve thought:p

That was never in question with such tariffs IMHO. The question is how much more products will cost and whether the new manufacturing business will offset the cost.

The same could have been achieved with subsidies, but with subsidies you would have had a much clearer picture of the cost. With tariffs it's more hidden, but the cost is still there.
 
It would be interesting to see the cost analysis of relocating to the US. I'd imagine it would cost them and the consumer more overall compared to just paying these crazy tariffs.... All depending on many variables with type of production, materials needed, and labor force required.
Who knows 😶
Also, it wouldnt be anything happening quickly, but maybe in a year or two our economy will be shot and we can pay similar China labor rates.....
 
You know how long and expensive thats going to be? Its going to be YEARS before any assembly plants for apple products are up and running here in the US with all the red tape they got to go though, environmental evaluations, construction, etc?

Also...Who the hell are you going to staff these assembly plants with? Americans who dont have the skill set, the experience or the desire to do this kind of labor especially at the same prices people in china are doing it for.

Now, lets be totally real here...the conditions over seas where all these electronics are assembled are messed up no doubt, but they exists because people there are willing to do it for what little pay they get. Its not slavery, they are getting paid and anyone there (as far as i know) can get up and quit and walk out at any time...they are not held there at gunpoint (again as far as i know)....

BUT...do you really think us fat, lazy entitled americans are going to do the same labor, for the same pay? You best think otherwise because an American part time worker doesn't want to flip burgers without benefits for minimum wage. You really think they are going to work 12-18 hour shifts at less then minimum pay with no benefits building electronics?

NEVER HAPPENING. So even if you do bring back the jobs here in the States...the prices are going to increase so much for the product just to offset the cost of the Americans salary to build them and the items are going to be unafforable to most people, then the company is going to go under because they cant sell the items they are spending a fortune on building because it cost too much for them to build them here in the US.

Its a sad cold reality of business. Build for low, sell for high. Supply and demand. Apple isn't the only company doing that. Its been done this way for CENTURIES.

Trump still thinks its the 1800s where people are going to work in unsafe workhouses (Yes im using a Charles Dickens term here) using child labor for pennies, so the wealthy can get even wealthier!

The man is a idiot pure and simple and he's tanking the economy just to have the world kiss his ass, and he even said it. This is nothing more then a massive ego trip for him, and i got to hand it to the chinese for not kissing his ass.

Look..as an american i want good jobs here for myself and my fellow citizens. of course. I want jobs where we can make a livable wadge doing something we believe in and can be proud of. But i honestly do feel the days of us going to the assembly plant to build a product to sell on the market at retail, and have a dependable livable income were we can afford a home and raise a family, those days are behind us now.

Its not the industry revolution. Its not the world war 2 post war baby boom. its 2025. We live in an era of computers and automation and yes, sadly cheep overseas labor to assemble things and thats because of globalization for good or ill and thats been the way things have been done for nearly 40 years now and going backwards as trump is trying to do, is just idiotic.

This is just a major ego trip for him, a shallow ego from a idiotic man thats been forced on all of us!
 
Well yes, this is pretty obvious. The overall concern that will occur is whether the tariffs are long-lasting, though. There will be significant prerequisite work required to bring manufacturing like this to the US, and how often the tariffs are changing isn't going to inspire confidence they will be long-lasting. Thats going to cause longer delays in doing the apparent goal of these tariffs.
 
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Wow people really read the words "examining", "may" and "did not provide further detail about where or when any potential expansion in American manufacturing might occur" and immediately jumped to the tariffs are bringing manufacturing back to the US. Their entire response could be summed up in the nonresponse of "we're looking in to it".
 
Wow people really read the words "examining", "may" and "did not provide further detail about where or when any potential expansion in American manufacturing might occur" and immediately jumped to the tariffs are bringing manufacturing back to the US. Their entire response could be summed up in to the nonresponse of "we're looking in to it".
It is how republicans try to spin a win in the midst of a failure or denial lol
 
Well yes, this is pretty obvious. The overall concern that will occur is whether the tariffs are long-lasting, though. There will be significant prerequisite work required to bring manufacturing like this to the US, and how often the tariffs are changing isn't going to inspire confidence they will be long-lasting. Thats going to cause longer delays in doing the apparent goal of these tariffs.
Even their timeline of 12 to 18 months is a joke. They couldnt even get the design and permitting of a facility done in that timeline. Thats like the long lead time on equipment.
 
Companies will talk about doing this and maybe even act like it's happening, but they know Trump could change his mind like the wind and destroy their investment. Tariffs are a negotiating tactic in the morning and then later in the day, they're a means to move manufacturing to the USA. Good luck, America.
 
First of all, I doubt that americans will want to work in a factory with the same poor working conditions and low salaries as in asian countries.

But if you pay more and organize better working conditions, the products will cost more.

So, this whole idea, that the tarrifs will bring back manufacturing jobs is a romanticized view of the past. Nobody would want to work in the factories of the past or the asian factories of the present. Especially not for the pay they receive.

That means, even if the strategy is successful, and manufacturing comes back to the US, the prices of the manufactured goods and inflation will rise.

Alternatively, if the manufacturing is done by robots, and humans only care for them, that will also not result in a great renaissance. Not many people will be needed to keep the robots running and most of the money will go to the well educated engineers with university degrees who design the robots and write their code. Unless thats also done by AI at some point.

I don’t really see a future, where the tarrifs lead to a positive outcome.
 
What? Companies actually considering moving manufacturing to the US? Who would've thought...

Of course, that's not what she said: "[T]he company may idle certain investment plans in China while evaluating new facilities elsewhere, including in the United States." (emphasis added). It would be idiotic not to at least pay lip service to the idea of manufacturing in the US at this time, but the realities of such a move haven't changed.

The US still doesn't have, and won't anytime in the next 5-10 years, either the skilled labor to manufacture tech products at scale or the education/certification programs to produce more. The US also doesn't have the sheer number of unskilled workers willing to work on an assembly line, particularly now that immigrants are terrified of getting kidnapped by the regime on their way to work. When Target pays $20+ and Costco pays $30+, there's no incentive for Americans to do assembly work.

And even assuming all this hurdles are cleared (they won't be), the timeline is still 12-18 months to "move to develop" new production lines. That is, nearly 2 years to even begin the process. Do you actually think the US economy can go on like this for even 12 more months?

If so, I have a few bridges to sell you.
 
Even their timeline of 12 to 18 months is a joke. They couldnt even get the design and permitting of a facility done in that timeline. Thats like the long lead time on equipment.
Yep. There was a way to get some of these jobs back to the US in a way that would have actually worked, such as having final assembly in the US, but we haven't gone with that. We've gone with shock and awe to create chaos without understanding that this ensures that no immediate changes actually occur.
 
That was never in question with such tariffs IMHO. The question is how much more products will cost and whether the new manufacturing business will offset the cost.

The same could have been achieved with subsidies, but with subsidies you would have had a much clearer picture of the cost. With tariffs it's more hidden, but the cost is still there.

No, it's still in question because the US doesn't have the capacity to manufacture tech products at any cost. No amount of money can conjure tooling and production engineers (or an enormous supply of non-migrant unskilled laborers for reasonable cost) in a couple years.
 
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