News hardware Surprise: Apple entrusts the manufacture of the iPhone 14 to a new country
The news fell during the week. The iPhone, 14th of the name, will not be completely produced in China. This technological and industrial earthquake is woven against a backdrop of international tensions between the authoritarian Chinese regime and Washington.
Apple changes its way of producing for its iPhone 14
De-escalation is not for now between the United States and China. Whether diplomatically, militarily, industrially or technologically, the two states are at loggerheads.
And it has direct impacts on businesses, including multinationals like Apple.
The latter, in a press release published on Tuesday August 23, indicated that they were beginning to switch the production of their next flagship smartphone, the iPhone 14, from Chinese factories to Indian factories.
Apple, with this decision, therefore indicates that it wishes to diversify its production lines, in order to avoid any risk of dependence.
Apple is turning away from China and prefers India for its iPhone
Indeed, from a historical point of view, it is Foxconn, the supplier based in Taiwan, which deals directly with Apple for everything related to the products of the bitten apple brand.
The latter is based on production sites based not only on the island of Taiwan, but also in China and more particularly in Shenzhen, a metropolis located in Guangdong.
But, following the latest events on the international scene, the company that designed the iPhone has decided to change its tune.
It is to India that Apple has decided to turn for its new production lines. But this is not new, and it would be more accurate to speak of an intensification. Indeed, it has been since 2007 that it has had its iPhones produced by local factories.
However, these iPhones were intended for the domestic market. With this policy, the Cupertino company could in particular minimize transport costs.
From now on, Indian factories will have to work hard to produce enough for their domestic and international markets.
A decision taken against a backdrop of tension with China and technological catch-up for India
Apple’s decision to no longer depend solely on China for the production of smartphones is important news, capital even, in the sense that it is a clear indicator of the health of the Sino-American relationship.
The latter has not improved since President Xi Jinping’s recent statements and the hardening of the tone regarding Taipei’s status.
Unable to achieve consensus at the international level, the People’s Republic of China continues to intensify its military exercises simulating an invasion of the island of Taiwan, with the aim of increasing the pressure.
And with Beijing’s position vis-à-vis Russia in its aggression against Ukraine, China finds itself in a quasi-belligerent position on the international scene.
The United States, main allies of Ukraine, and very attentive to the situation in Southeast Asia, did not have only sweet words for China. As a result, diplomatic relations between the two states have only been strained ever since.
It should also not be forgotten that China, at the time of the COVID-19 pandemic, carried out a particularly restrictive policy which led to a traffic jam effect on the production lines of technological components.
Still marked by this tough episode from an economic point of view, Apple preferred to appeal to Indian industries. The latter are currently in full technological catch-up and can now support high-tech products with high added value.
This decision by Apple risks creating a precedent from an economic point of view with long-term consequences on the international scene.