📱 Why Is the iPhone Made in China and Not in the United States of America?
They don’t assemble it in America because it would be 10 dollars higher than the China price. The greed of western companies facilitated the capture of manufacturing by the Chinese. One way of winning manufacturing back is by the increase in prices at Chinese factories. And that’s not going to happen. Chinese factories don’t make profit on purpose. They sell labor amazingly low to ensure they get all the buyer contracts. China turns labor into American dollars and then use the dollar to enhance their global presence and influence. What is the solution to this self inflicted problem? Do we need to get the reverse mechanism to start running, or wait for the Chinese monster to implode? What are your thoughts?
Many western companies had to transfer to China in order to exploit cheap labour. It’s no surprise that iPhones are assembled in China.
China has a high pupolation which makes labour cheap and other advantages of big market of Japan being near China as a producer of industrial goods and services .
Simply because US cost is to high, always cheaper to get it made in China. Plus Americans aren’t great at assembling intricate things
Low cost of production, Cheap labor and readily available materials at low cost.
All of the above and especially the cost of labour which has no bearing on the size of the population it has to do with the lifestyle of the population. I am not sure what the exact minimum wage is approximately $US3.20 per hour compared to as opposed to $US13.94 in Australia and $US7.25 in America.
This is why we are sending all our production to China as well as the economies of scale that Chinese factories have which again make the products cheaper.
Yes, I agree with all the above answers.the IPhone aren’t manufactured in America because they can’t be, there is not enough manpower to support the manufacturing of Apples’s products. In addition, most of raw materials used to make Apple products including IPhone are also manufactured overseas.
It also more money and taxes to manufacture in America.
Cheap labour is the main reason, and it’s America that have given China the concession to do it.
Business is about make huge profits. The company wants to make very good profit
I agree that the cause of all these problems is excessive greed. As long as there is extreme greed it is very difficult to find a solution to any problem.
Apart from the cheap labor, why iPhone is made in China and not in America is to provide employment opportunities to the Chinese people as well as to benefit them.
There are several factors behind this relocation :
Cheap labor, and higher taxes, expensive on workers benefits and insurance.
Many people also are living and working at the factory in China, such jobs are high demand in China and they can hire many people overnight.
Many Raw materials used to make Apple products are manufactured overseas.
There are many reasons that Have been mentioned already in the previous comments. I think thet are thé most important reasons.
Because the Chinese are cheap and efficient at what they do. Americans are not – simple
Cheap Labor. That is the ultimate reason. If you have a factory in China, your labor cost is the minimum wage of China. Imagine that China has a minimum wage of only US$378 per month, while the hourly minimum wage in the US is US$7.25. If an average labor work for 40 hours a week or 160 hours a month, then his monthly wage is US$1160. It means that apple can reduces its cost by using Chinese labor. That is what the globalist do.
The main reason that I phones are produced in China is of course the production costs and the possibility for Apple to earn more money.
The prize for the customers will probably be the same because the difference is taken out like more profit.
China have cheaper labor, while US have higher labor costs than normal.
The higher cost of taxes and abundance of workers is one of the reason. China has many available workers than can work and live in the factory.
China has abundant supply of skilled and semi skilled workers. The can work round the clock to fulfill customer requirements at fastest speed . Technology transfer already made China one the country where there can do anything at customer preferred quality. No wonder many top products made in China including iPhone.
Of course Mr Ramachandran, you spot on, all is about workers,making lots profits and paying less taxes.
It is really pure economics. It is too expensive to produce them in any Western advanced economy and consumers do not necessarily understand that we need to preserve jobs and that if we keep doing this we are handing China lots of power,they just want pfodhcts as cheap as possible.