A key Apple supplier has suggested it could shift some production to the US and other countries with the intention to dodge the brunt of President Trump’s 104% tariffs on China.
Luxshare, a Chinese firm that assembles iPhones and makes AirPods, can even reconsider some planned investments in China as Trump’s trade war plays out, chairwoman Wang Laichun said during a lengthy call with analysts on Wednesday.
“If there may be a industrial guarantee and we’re in a position to conduct a very good evaluation, we don’t rule out having some products being localized to fulfill the needs of the US market,” Wang said, in response to a transcript obtained by Reuters.
Apple shares have been under pressure in recent days because Trump’s tariffs are particularly damaging for its supply chain.
Tim Cook’s firm makes the overwhelming majority of its hardware in China, including its flagship iPhones.
Trump has also imposed 46% tariffs on Vietnam and 26% tariffs on India – two of Apple’s other key production hubs.
Vietnam is one in all the countries that has opened negotiations with the Trump administration to deal with the tariffs.
Meanwhile, Apple is reportedly considering shifting more production to India to avoid the upper tariff levels in China.
Wang didn’t specifically confer with Apple during her remarks. Apart from China, Luxshare has facilities within the US, Mexico, Vietnam, Thailand and Malaysia.
The Luxshare boss said it will take time for more production to come back online in other countries – as much as one-and-a-half years even in places where it already has manufacturing plants.
Wang also weighed in on the likelihood that customers will seek for higher deals as the price of products rise due to tariffs.
“Customers have all the time collaborated with suppliers on easy methods to enhance competitiveness,” she said.
Overall, Wang said the tariffs were unlikely to have a serious impact on Luxshare’s profits since the firm doesn’t export many finished products on to the US.
Apple didn’t immediately return The Post’s request for comment.
It’s unclear if Apple will hike prices for patrons because of this of the expected increase in its manufacturing costs – though some have reportedly scrambled to upgrade their iPhones simply to be secure.
A key Apple supplier has suggested it could shift some production to the US and other countries with the intention to dodge the brunt of President Trump’s 104% tariffs on China.
Luxshare, a Chinese firm that assembles iPhones and makes AirPods, can even reconsider some planned investments in China as Trump’s trade war plays out, chairwoman Wang Laichun said during a lengthy call with analysts on Wednesday.
“If there may be a industrial guarantee and we’re in a position to conduct a very good evaluation, we don’t rule out having some products being localized to fulfill the needs of the US market,” Wang said, in response to a transcript obtained by Reuters.
Apple shares have been under pressure in recent days because Trump’s tariffs are particularly damaging for its supply chain.
Tim Cook’s firm makes the overwhelming majority of its hardware in China, including its flagship iPhones.
Trump has also imposed 46% tariffs on Vietnam and 26% tariffs on India – two of Apple’s other key production hubs.
Vietnam is one in all the countries that has opened negotiations with the Trump administration to deal with the tariffs.
Meanwhile, Apple is reportedly considering shifting more production to India to avoid the upper tariff levels in China.
Wang didn’t specifically confer with Apple during her remarks. Apart from China, Luxshare has facilities within the US, Mexico, Vietnam, Thailand and Malaysia.
The Luxshare boss said it will take time for more production to come back online in other countries – as much as one-and-a-half years even in places where it already has manufacturing plants.
Wang also weighed in on the likelihood that customers will seek for higher deals as the price of products rise due to tariffs.
“Customers have all the time collaborated with suppliers on easy methods to enhance competitiveness,” she said.
Overall, Wang said the tariffs were unlikely to have a serious impact on Luxshare’s profits since the firm doesn’t export many finished products on to the US.
Apple didn’t immediately return The Post’s request for comment.
It’s unclear if Apple will hike prices for patrons because of this of the expected increase in its manufacturing costs – though some have reportedly scrambled to upgrade their iPhones simply to be secure.
