Apple can reportedly survive a China ban as Foxconn shifts to India

Apple Has a Backup Plan If the U.S.-China Trade War Triggers iPhone TariffsMore

Apple Has a Backup Plan If the U.S.-China Trade War Triggers iPhone TariffsMore

President Donald Trump's threat of tariffs on Chinese imports could, for example, essentially inflict a tax on Apple's iPhones.

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For those who don't know, Hon Hai Precision (aka Foxconn Technology Group or just Foxconn) is now the world's largest contract manufacturing company. It will fully support Apple if it needs to adjust its production as the U.S.

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Liu was speaking at Foxconn's first investor conference in Taipei, where the company also said it was well-positioned to tackle the "increasingly tough" trade war situation with its production lines across 16 countries.

Its Taiwanese manufacturing partner Hon Hai Precision Industry (better known as Foxconn) can make enough iPhones to meet the needs of Apple's United States market outside China if needed, according to Bloomberg.

The company also sought to reassure investors that a plan to expand its manufacturing capacity outside China is at the ready should US-China trade tensions affect its supply chain. Ltd, which trades as Foxconn, is Apple's major manufacturing partner for the iPhone and iPad.

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Foxconn Technology Group said it is ready to shift production for Apple out of China in order to avoid U.S. tariffs on products from China.

Today, Liu also sought to address investors' concerns on what the overhaul might mean for plans initially laid out by Gou, including a US$10 billion (RM41.6 billion) investment to create 13,000 jobs in the USA state of Wisconsin.

The company has also reaffirmed its employment goal, and construction schedule after receiving criticism for low-paying jobs and sudden dismissal. On Tuesday, executives reaffirmed that employment goal, saying construction remained on schedule and that it will hire as many as 2,000 Americans by the end of 2020.

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The US and China are in the early stages of a cold war, so companies like Foxconn and Apple are coming up with emergency back-up plans.

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