Apple CEO Tim Cook pledged major investments in China during his visit to the world’s second-largest economy, despite earlier US threats of tariffs on imported goods.
During the trip, Cook met with Li Lecheng, China’s Minister of Industry and Information Technology, who urged Apple to strengthen collaboration with local suppliers, according to an official WeChat post.
In response, Cook confirmed that Apple would deepen its partnership with China, highlighting the country as its largest market outside the US and a key manufacturing hub for the Cupertino-based company.
Apple plans to expand its reach in the tech market as competition in the industry intensifies
Besides meeting with Li Lecheng, Cook also shared a post concerning his meeting with Kasing Lung, an illustrator and toy designer widely known as the creator of Labubu, and visited an Apple store in Shanghai. He also pledged a donation to Tsinghua University, China’s top university.
In recent years, Apple has sought to diversify its supply chain away from China by adopting strategies such as increasing production in India. However, even with such strategies in place, the tech company still produces most iPhone products in the country with a strong support system from Taiwanese-based Foxconn Technology Group and Chinese-based Luxshare Precision Industry Co.
Meanwhile, Apple intends to expand its reach in the tech market to solidify its position as the leader in the industry. To begin with, the tech company is committed to increasing its manufacturing efforts in the US while enhancing its production capabilities in other locations.
Moreover, the tech giant’s team is preparing to produce new smart home gadgets in Vietnam. The main reason behind this strategy is to lessen their reliance on China.
Nonetheless, like any other tech company, Apple has faced challenges in its efforts to diversify its workforce. To illustrate this, Foxconn returned hundreds of skilled Chinese engineers from India’s iPhone factories. This action significantly impacted the tech giant’s plan to enhance manufacturing activity in the country.
What triggered Foxconn’s move to bring back hundreds of skilled Chinese engineers from India was the earlier announcement by Beijing officials that regulatory agencies and local authorities should restrict technology transfer and equipment exports to India and Southeast Asia.
Regarding the officials’ announcement, tech analysts have pointed out that this could be an attempt to halt firms from shifting their manufacturing operations away from China.
Apple focuses on expanding its operations in China with the launch of its slimline iPhone Air
After imposing a break to give local carriers time to prepare for the eSIM-only device, Apple announced its intention to introduce the super-slim iPhone Air in China. Following its announcement in a Weibo post, preorders for the super slim iPhone Air will commence on October 17.
Regarding this launch, a spokesperson from the tech giant confirmed that the smartphones will be available in stores on October 22. This confirmation followed a report from the Chinese news source Jiemian, which highlighted the scheduled release date.
In the meantime, reliable sources have pointed out a unique feature: the slimline iPhone Air does not utilize physical SIM cards, making it Apple’s first-ever smartphone that is entirely eSIM-dependent.
With the eSIM, everything related to a mobile network is integrated directly into the phone. Therefore, according to Apple, removing the SIM tray helped make room for a larger battery within the phone’s slender design. This statement was made during a launch event last month.
However, China has slowly embraced eSIM technology among its mobile carriers. This resulted in the iPhone Air being launched later in the country. The phone was released elsewhere on Sept. 19. Despite this, hope has been sparked in the Chinese market following the announcement that China Mobile Ltd. has been approved to launch eSIM services in the country.
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