Will Apple Inc. (AAPL) Really Build US Plants Like Trump Says?

Will Apple Inc. (AAPL) Really Build US Plants Like Trump Says?

On Tuesday, President Donald Trump made a big revelation regarding plans for three Apple factories in the USA but it may not build them all by itself.

"He's promised me three big plants - big, big, big", Mr. Trump said, referring to Mr. Cook. For example, Cook may have said that Apple's providers are assembling new industrial facilities in the USA, as opposed to Apple itself. The company maintains just one factory in Ireland - a tax haven - making it unlikely Apple will independently bring three plants to the U.S. However, it can encourage its suppliers to do so. Also worth noting is that Apple doesn't typically build its own products, instead preferring to partner with supply chain manufacturers like Foxconn that build their own factories and build products for Apple.

The vast majority of Apple's products are assembled in China by Foxconn.

Apple has about 80,000 employees in the USA and plans to hire thousands more "in the future", according to Cook.

The fact is that Apple is not in the business of controlling its own production anymore. Apple claims to employ somewhere around 80,000 people in the United States, but it was a big focus during Trump's campaign, at times facing criticism for its overseas manufacturing (and at others times, promises). Recent reports reveal that in order to do exactly that, Apple has told U.S. President Donald Trump that it is planning to build three big manufacturing plants in the country.

Keep in mind that China makes 200 million iPhones per year. Even though Apple has not made any comments immediately following this news article, this development certainly is "big, big, big".

While Apple might be headquartered in the United States, the majority of the company's production operations are overseas in countries like China.

CNBC reports Corning, based in western NY, said it would "immediately" invest $500 million and create 1,000 new jobs in the US related to medical devices - not smartphones or tablets.



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