South Korean media: "It is unrealistic to transfer the assembly process of China's iPhones to India!"
On April 28, South Korean media "Everyday Economy" published an article stating that analysts believe that under the background of the "tariff war", it is unrealistic for Apple to transfer the iPhone assembly process from China to India.
Recently, Craig Moffett, a renowned mobile sector analyst at market research firm Moffett Nathanson, made this prediction.
A previous report by the British "Financial Times" stated that Apple plans to move its production base from China to India. Craig Moffett analyzed that "even if the assembly process is transferred, the supply chain will still be rooted in China, and transferring the assembly process will face resistance."
He also pointed out that "due to the production of iPhone components in China, the cost issue caused by tariffs is difficult to solve," and "the global trade war has had a negative impact on both costs and sales. Although transferring the assembly process may alleviate the cost problem, sales may still be a bigger issue."
Craig Moffett said, "Apple still has a sound financial structure and a strong consumer base. However, the reality is that the company is facing severe tariffs, and consumer demand may slow down due to macroeconomic conditions."
He continued, "Ultimately, consumers will bear the cost of the tariff, demand will decrease, the cycle of phone replacement will become longer, and the speed of upgrades will slow down. This could be a factor in reducing Apple's earnings expectations for next year."
He stated that Apple's iPhone sales in China may be affected by US tariffs on China, "this is a very realistic problem. Sales are shifting to local competitors such as Huawei and vivo instead of Apple."
Original article: https://www.toutiao.com/article/1830646958720260/
Disclaimer: The article only represents the author's personal views.