Apple has historically relied on China to manufacture its flagship iPhone range, but recently the tech giant has been trying to diversify its manufacturing base with a strong focus on India and other countries. Ahead of the launch of the upcoming iPhone 16 series, a video of Apple CEO Tim Cook explaining why companies manufacture in China has gone viral. The viral video, in which Cook claims that cheap labour costs are not the reason why companies manufacture in China, was also backed by X owner Elon Musk.
In the viral video on X, Tim Cook can be heard saying, “The popular conception is that companies come to China because of low labor costs. I'm not sure what part of China they go to, but the truth is China stopped being the low labor costs country many years ago,”.
"The reason is because of the skill, the quantity of skill in one location, and the type of skill it is. The tooling skill is very deep here. In the US, you could have a meeting of tooling engineers, and I'm not sure we could fill the room. In China, you could fill multiple football fields. Vocational expertise is very very deep here" Cook added
In reply to the viral video posted from X handle @historyinmemes, Musk wrote ‘True’.
A recent eport from Bloomberg had revealed that Apple may begin manufacturing the iPhone 16 Pro and iPhone 16 Pro Max series in India later this year, which could lead to a reduction in the price of these devices in the country. The local assembly of premium iPhone models could lead to a price reduction of up to 10% for the new iPhone 16 Pro models. Meanwhile, the Indian government has also recently reduced customs duties on mobile phones, which should encourage the Cupertino-based company to cut prices further.
