Will Apple s factories in Brazil and India make Apple less dependent on China?

Although Apple has been able to build factories in Brazil and India, its largest consumer market is still dependent on China.

I don't think it's possible, because China buys a lot of him.

I think that the Chinese market is no longer Apple's market, and China has its own R&D center.

No, because it's not Apple that depends on China, it's the Chinese themselves who like Apple.

Some of them can be reduced because the cost can be mitigated in India.

Apple's dependence on Chinese production has put the company in a state of economic unease.

I don't think it's possible, after all, there are so many Chinese, and they still can't leave China.

I think it can be reduced, but only by a small part, after all, the Chinese market is so huge.

According to an assessment of publicly available business data compiled and collated by Reuters, Apple does not seem to intend to deviate from its current strategy.

Apple said it was happy that India produces the Apple 14, and the reduction of China's production share is mainly to reduce costs and occupy the Indian market.

India is going to produce iPhones

Not long after the release of Apple 14, Apple officially announced that India will produce iPhone 14, accounting for 5% of market sales, and will not completely replace China's production share. India's ability to obtain Apple's production orders is mainly due to the following two aspects. First of all, India's mobile phone production industry chain has been gradually improved, including Xiaomi, vivo and other domestic mobile phone credit, and secondly, to occupy the global market.

Production costs

Apple is about to shift its production focus to India, mainly to cut costs. At this stage, India's labor-intensive industries account for a large proportion of the country's GDP, and its labor costs are relatively low, so Apple will gradually tilt its market share to India. In India, more labor can be hired for the same amount of money, and now that China's labor-intensive industries have been declining year by year, and Apple's production costs are getting higher and higher, they will have the idea of shifting.

Many foreign companies have gradually withdrawn from the Chinese market, which is actually a manifestation of China's gradual development and growth, and the proportion of labor-intensive industries is getting lower and lower, indicating that China's high-precision and cutting-edge industries are gradually developing.

Indian market

The more important reason why Apple will produce iPhones in India is that it wants to occupy the Indian market. India is a populous country, with a population of up to 1.4 billion, most of India's mobile phone market is occupied by low-end models, Apple wants to take a piece of the pie in India, so let India produce iPhone, which can imperceptibly affect the consumption habits of Indians, so as to provide an opportunity for Apple to occupy the Indian market, but this is not an easy task. In addition, some netizens said that if their mobile phones are produced in India, they are likely to worry about their quality, so Apple will definitely have a headache in terms of quality control in the future.

He wants to expand his own market, go to other countries to participate, let himself get greater benefits, and want himself to be able to get out of China with all his might.

The main reason is that sales in China are not good, and now the trend of domestic products is very good, and Apple cannot sell.

Because Chinese consumers now attach importance to Huawei mobile phones, they are not interested in Apple mobile phones.

I don't think it can be successful at all, because India's manufacturing level is very backward, far from being comparable to China's manufacturing industry.

The consumer market of one country is very important for brands in other countries. In particular, the amount of goods and labor can often determine a country's economy and development potential. China's consumer market is large enough and has a large labor population.

Therefore, many foreign goods and enterprises always like to work in our factories, which can reduce labor costs on the one hand, and provide sufficient jobs for our country on the other hand.

Apple mobile phones are very popular in the world, after all, the performance and appearance of Apple mobile phones far exceed those of the Android camp. Therefore, whenever Apple releases a new generation of mobile phones, it will always arouse the admiration of consumers. But in the vast majority of cases, the assembly and production of Apple's phones is done in China.

Coupled with the growing economy in China, which has led to an increase in the number of workers, the economic profits of Apple's mobile phones in China are far less than they used to be. Therefore, Apple urgently needs a region with lower labor costs, so it hopes to move the production line of Apple mobile phones to India. <>

I think it was a completely whimsical idea for Apple to move the production line to India. We all know that India's manufacturing industry has always been very backward. This can be perfectly reflected in the level of military manufacturing in India.

Of course, it is not to disparage India, which does have a leading position in some areas. Although the cost of labor in India is low, the quality and discipline of workers are still lacking. <>

In addition, I think it has a lot to do with India's policies. When any foreign company sets up a factory in India, the economic benefits obtained cannot be brought out of India. This has also directly led to the fact that many foreign companies are not willing to sell goods in India at all, let alone run factories.

Personally, I don't think this will work out, after all, India should not have as much money as China.

It will definitely not succeed, because China does have very strong purchasing power, and India has a lot of people, but their purchasing power is not strong.

Of course not, because I don't think India's economy is currently high enough to buy this kind of iPhone.

The reason is that the cost of production in China has become higher. In the early days, Apple moved its industry to China because the Chinese labor force was relatively cheap at that time, so it would move a large number of industries here. But after a long period of development, China's industrial chain in this area has become more mature, and the skills of workers have been upgraded, which means that production costs will become higher.

Now assembly companies like Foxconn, their workers are relatively considerable. In such a situation, when Apple wants to produce products again, it will bring greater costs, which will also have a certain impact on their profit margins. Of course, most of the Apple industry chain is still in China, because China has been doing it for so many years, and the relevant industrial chain is relatively complete and mature, so the effect will be better when it is done.

The reason why these production lines are put in India is because India now has very cheap labor. In this case, many companies have put the industrial chain in India, which can greatly reduce the cost of production and obtain higher profits. In this regard, Foxconn has also cooperated with Apple to build factories in India, so as to recruit workers there to process Apple products.

In fact, this method is a way of industrial transfer, and these developed countries transfer their assembly and production work to other countries. In developed countries, the wages of workers themselves are relatively high, so if they produce in their own country, it will bring a lot of production costs, and if they are put to other developing countries to manufacture, the cost will drop a lot, and it can also bring them greater profits, which is also the reason for supporting them to do so.

So it's because the cost of production in China has increasedTherefore, in this case, it will choose to transfer part of the industrial chain to India. Because labor in India is now cheaper, moving to India can reduce the cost of production.

Analyst: Apple may shift 25% of its iPhone production from China to India because it wants to reduce production costs.

1. Analysts: Apple may shift 25% of iPhone production from China to <> India

According to the corresponding analysis given by the current technology analysts, Apple will transfer 25% of its iPhone production from China to India in 2025, which does sound a bit outrageous, but in fact, the production of iPhones in India may not be so good. Because the current popularity of the iPhone is too high, and analysts are also analyzing it well, this has led many people to the reasons behind this phenomenon.

Second, the reasons are <>

In fact, the reason given by the current analyst is to reduce the corresponding cost, on the one hand, the transfer to India is to covet the relatively low hardness of labor costs, after all, the most important thing in India is people, as long as the factory can be built, the final labor cost can be greatly reduced. On the other hand, India can indeed provide a lot of hardware, which means that even in order to reduce the cost of raw materials such as hardware, then Apple will eventually have to transfer the corresponding industrial chain to India.

Third, this conjecture may not be realized: the <> caused by the immaturity of skilled workers

Although the current analyst analysis is the head of the road, but this conjecture may not be able to finally realize, from the subjective aspect, India's industrial workers are relatively immature, and many factories are reluctant to bring high-end industries to India, this is not based on India's cheap labor, but because India's industrial workers are indeed very immature, which requires Apple and other companies to spend a lot of time and cost to train. From an objective point of view, it is obvious that Apple needs the Chinese market, and the Chinese market contributes extremely high sales and profits to Apple, and if the factory is moved to India, it is estimated that Chinese consumers will not have such high enthusiasm.

Because India's packaging technology is relatively good, and Apple's mobile phone sales in China are not good, Apple chose to move to India.

It's because Apple has a very strong competitor in China, that is, Huawei, but India's local phones are not good.

It seems that it is because people in India prefer iPhones, and the chairman of iPhone thinks that this is a very big business opportunity.

Apple is ready to gradually move its product line to India, thinking about one thing, whether it can succeed is one thing, and even if he succeeds, what will be the impact on us? China is now experiencing negative population growth, and the number of young laborers who have entered an aging society is not much, so what is the point of doing so many labor-intensive industries? <>

At the beginning of the reform and opening up, China had a demographic dividend, the number of labor force was relatively large, and it was relatively cheap, attracting a lot of foreign investment, but this kind of investment was either damaging to the environment and urgently dependent on local resources, or it required intensive labor. At that time, China's ** was relatively cheap, and it was more in line with their needs to reduce costs, although it brought a certain amount of economic development, but this was for that time, and now we don't need this thing. Our economic development needs and domestic environment are different from before, and they are all from us at the beginning of reform and opening up.

We want not only green waters and lush mountains, but also gold and silver mountains, which determines that we do not want foreign investment that will damage the environment and resources, and we are now facing an aging population, negative growth, and a declining birthrate. Young people marry later and have children later, which determines that we don't need so many labor-intensive industries at all. Because China's current labor force is no longer enough, every labor force is very precious, and labor-intensive industries can only provide a job for people.

But it can't create much value, like a screw on a big machine, it has its meaning, but it has no meaning from an individual point of view. <>

This just means that the situation that he can be transferred away smoothly will have an impact on us, there will be a little, but the impact will not be particularly large, in other words, he can not transfer away overnight, it is not a suitcase that can be packed and left. It can be regarded as forcing China to carry out the transformation of its industrial structure, because we need that kind of scientific and technological innovation enterprises, and we no longer need that kind of labor-intensive and resource-intensive industries. Those are not of great benefit to our economic development, and they cannot improve the quality of our economic development.

One of the great characteristics of Apple's management of the global industrial chain is that it never puts its eggs in one basket. Apple will choose two or three ** suppliers for similar products, and the same is true for the market. Although Apple has placed most of its production lines in China, over the years, Apple has also been shifting production lines and investing in production capacity in India, Vietnam and other countries and regions.

It is expected that after the release of the iPhone14, there will be another boom in the purchase of machines, in order to ensure production capacity, Apple has increased the layout of the Indian market and shortened the production time of the iPhone14. According to U.S. media sources, Apple plans to produce iPhone12 in India two months after the iPhone 14 goes on the market, and the production of **iPhone in India in the past has been delayed in China for two to three quarters.