iPhone 'Made in USA' won't help with employment

Updated 2016-11-25 15:28:43 China.org.cn

The U.S. President-elect Donald Trump wishes to have iPhone and other Apple products manufactured in the United States, but industrial insiders said bringing back production lines would not fundamentally improve employment in the United States and is little more than a sign of rising nationalism.

The New York Times reported that Trump offered Tim Cook "incentives" that would include "a very large tax cut for corporations."

Trump said he wished to increase employment with this strategy. Although bringing assembly lines back to the the United States would increase labor costs and the use of robots would not create more jobs, Trump explained that more U.S.-made robots would mean more robot factories and more robot-related jobs.

Cook responded that he understood Trump's intention but offered no further comment. Apple Inc. has long considered professional issues as the biggest obstacle to repatriating iPhone's production lines.

"Even if Apple decides to bring its production lines to the the United States, a timetable is still yet to be finalized. It will be a rather lengthy process, especially considering the massive size of the company. The transfer would take five to ten years," said Peng Luping from IHS Asia Pacific. He said that similar attempts by U.S. manufacturers had only a limited effect on employment, because higher labor cost forced them to turn to automation.

U.S. citizens will discover in less than a year that their new president will fail to find them jobs or an easy life. Instead, living condition in the the United States may further worse, said Jiang Zhaokang, a U.S.-based lawyer specializing in trade disputes. He added that China would come up with countermeasures if the Trump administration attempts to wage a trade war against China.

Amid the gloomy global economy, all countries are trying to keep jobs, which in part leads to rising trends in nationalism. This will impact the world's systems of profit and growth and supply chains established over the past decade, according to a report issued by Norther Trust Capital Markets.

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