A Foxconn facility

Even Foxconn says it’s looking to move away from China

AppleInsider may earn an affiliate commission on purchases made through links on our site.

Apple supplier Foxconn reports that it is working to reduce its reliance on its parent firm’s home country of China, and will diversify future production.

Foxconn, which is Apple’s major supplier for the iPhone, is based in Taiwan. But it is owned by Chinese firm Hon Hai Precision Industry Co. In announcing its latest Q4 earnings that showed a drop in profits, the firm says it is working to expand away from China.

According to the Wall Street Journal, Foxconn says that currently 70% of its revenue comes from China. However, Chairman Young Liu, said the proportion of revenue from outside the country will continue to grow.

US technology firms are working to leave China in part to end their over-reliance on a single country, especially one that implements intermittent power cuts. They are also looking to move because of continued US/China trade tensions.

In the case of Foxconn, however, chair Young Liu says diversifying is a pragmatic and predictable necessity.

“It is a basic truth that labor-intensive industries transfer to low GDP countries,” he said.

The Wall Street Journal says that during Foxconn’s Q4 earnings call, Liu explained further that growing economies with labor-intensive industries will periodically see transfers of work. He reportedly described how manufacturing moved from the US to Japan, then to Taiwan, and most recently on to mainland China.

“These high GDP countries must upgrade their industries in order to support the sustainable development of a high GDP society,” he continued.

Separately, Foxconn has already announced a $700 million iPhone production plant will be built in India, and is spending $300 million on leases in Vietnam. However, it is also continuing to expand in China.

The post Even Foxconn says it’s looking to move away from China first appeared on

New reasons to get excited everyday.

Get the latest tech news delivered right in your mailbox

Even Foxconn says it’s looking to move away from China

5 Reasons Why You Should Try Online Horse Race Betting

In many places around the world, horse races are an attraction that a lot of people love to watch. With the fast-paced action and thrill that each game provides, it is no longer surprising to know that millions of fans have grown fond of it.
Even Foxconn says it’s looking to move away from China

NordLayer — more than a business VPN

Cybersecurity threats have become vast and more sophisticated. The rate of malware attacks and malicious activity counts within seconds despite the size or sector the organization belongs to — no one is safe enough to expect that foe actors will bypass vital company resources.

You may also like

Notify of
Inline Feedbacks
View all comments

More in Apple