Thursday, June 15, 2017

Foxconn would be completing the opening of a US factory


It seems that little by little the request of the present president of the United States begins to materialize, since Foxconn would be on the verge of establishing a factory in the American country.

Foxconn one of the major technology manufacturers

The Taiwanese company is responsible for manufacturing devices for large companies such as Amazon (Kindle), Sony (PlayStation 4), Microsoft (Xbox 360), GoPro and of course Apple . Although the company is associated with China, it has factories in Brazil , Hungary , Slovakia , Czech Republic , India , Malaysia and Mexico , and everything seems to indicate that a new factory will soon open in the United States .
Foxconn employees
Foxconn Employees

An arrival expected by many

Since the arrival of Donald Trump , many have accompanied the President's request that American companies that produce their products outside the country take all possible actions to bring that production to the country . 
Apparently, this order would be close to being fulfilled. A few months ago, we met details of a meeting between Donald Trump and Foxconn CEO , who is apparently on the right track. At least so says an internal source of the company. 
Donald Trump himself said during his visit to Milwaukee that:
We have a lot of companies moving to the United States. We are negotiating with a lot of companies. Just behind the stage we were negotiating with a major manufacturer of mobiles, computers and televisions, I think it will be a pleasant surprise for the governor of Milwaukee.
The location of the factory is not yet confirmed, but from Trump's comments we could assume that Milwaukee, Wisconsin , would be the chosen city.
A few months ago, Foxconn was very interested in investing 7 billion dollars in conjunction with Apple, to be able to manufacture screens in the United States.
Tim Cook with employees of Foxconn
Tim Cook with employees of Foxconn

An inevitable price increase?

Terry Gou, founder and president of Foxconn talked about the prices of products manufactured in the United States, ensuring that:
In the future they may be paying about $ 500 for products made in the United States, but this does not mean that they work better than a $ 300.
And is that precisely the increase in the cost of manufacturing the product, will bring with it an increase the final price of the same, moving to the user . And this is where the doubts of this proposal arise. 
If Apple does not want to hurt its sales with a substantial increase in the products manufactured in the United States, it will have to make an adjustment in its costs and a negotiation with the manufacturers to be able to maintain the current price of the same ones.
At the moment they are still only rumors, but everything seems to indicate that the negotiations continue their course. 
Tell us what you think, do you believe that when manufactured in the United States, Apple products will be more expensive? 
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