Chinese companies will gradually withdraw Apple iPhone orders from Taiwanese

Chinese companies will gradually withdraw Apple iPhone orders from Taiwanese competitors

The desire of Apple contractors to move production from China to other countries does not particularly affect the “national” affiliation of the final contractors, therefore, even under the new conditions, companies from China can effectively compete with Taiwanese contractors for the right to do so compete to manufacture Apple products. The analysts at Kirkland Capital are convinced of that.

    Image source: Apple

Image source: Apple

Now, Foxconn and Pegatron of Taiwan remain the prime contractors for the iPhone release, and the former of them is still the exclusive maker of the iPhone 14 Pro and iPhone 14 Pro Max, while orders for the production of simpler family smartphones are shared among one variety of manufacturers. According to Kirkland Capital, Chinese companies have made technological advances in almost every field except semiconductor manufacturing.

For this reason, as I said CNBC, Chinese competitors will withdraw more and more Apple orders. One example is Chinese company Luxshare, which is rumored to have received orders to manufacture older iPhone models in China. The launch of the iPhone 14 Pro Max in Kunshan was prepared on a small scale by Luxshare after Foxconn ran into trouble at its Zhengzhou facility this fall. Founded in 2004 by a native of Foxconn, the Chinese Luxshare initially specialized in the production of cables for iPhone and MacBook, but then mastered the production of AirPods wireless headphones.

Chinese companies have no problem hiring Chinese nationals as employees, while Taiwanese competitors have a harder time. They also get more tax breaks from the Chinese authorities, which ultimately allows them to fill orders at lower prices. It is only necessary to achieve the quality of the products that would suit Apple. As early as 2021, China overtook Taiwan in terms of concentration of Apple’s largest suppliers.

About the author

Johnson Smith

Johnson Smith is interested in Home Theater & Audio, Smart Tech, Google News & Products, How To, Apple News & Products, Cell Phones, Automotive Technology.

Add Comment

Click here to post a comment