Pandemic speeds up iPhone makers' plans to exit China

[tower9]

India has a lot of problems with respect to labor laws and Infrastructure...Unless there is a miracle, i do not see India is getting anything from the manufacturing side from China.

I think there will be some manufacturing going to India from China. But it is being overstated in the media. I think the ones that will go to India will probably already have incentives to do so whether it be access to the Indian market or being sensitive to political pressure.

 

[Kaniska]

I think there will be some manufacturing going to India from China. But it is being overstated in the media. I think the ones that will go to India will probably already have incentives to do so whether it be access to the Indian market or being sensitive to political pressure.

Exactly, no country has the scalability and supply like to produce items as it has with China...It is not just about industry rather it is more about Supplier line, availability of resources and many other factors that will come to play...This is the same story with IT service industry in India...Many other countries are trying to replace India since last 10 years...But it is not so easy to replace their IT outsourcing jobs due to obvious challenges.

 

[tower9]

Exactly, no country has the scalability and supply like to produce items as it has with China...It is not just about industry rather it is more about Supplier line, availability of resources and many other factors that will come to play...This is the same story with IT service industry in India...Many other countries are trying to replace India since last 10 years...But it is not so easy to replace their IT outsourcing jobs due to obvious challenges.

India has the potential to match China but it will take a massive social and political revolution to do that. The CCP has basically turned China into the world's largest corporation, that's why it has immense resources under its power to meet the world's manufacturing needs.

 

[Song Hong]

Ironically it was quite a significant part due to the china supply, that leads to faster industrialization at north Vietnam or sống hong plains.

Samsung move in Thái Nguyên bác ninh. Parts from guangzhou can be moved in within 2 days. This is much efficient compared to investment in mekong delta.

In the past western analysis often suggest Vietnam handover economic power to southern faction(pro USA). And rich South despised the poorer North.

Now this is no longer mentioned.

In future Hanoi will become silicon Valley while ho Chi Minh City new york

 

[FairAndUnbiased]

Exactly, no country has the scalability and supply like to produce items as it has with China...It is not just about industry rather it is more about Supplier line, availability of resources and many other factors that will come to play...This is the same story with IT service industry in India...Many other countries are trying to replace India since last 10 years...But it is not so easy to replace their IT outsourcing jobs due to obvious challenges.

Even many US plants operate with less IT and automation than Chinese companies. I don't think India can compete in manufacturing with China at all. Laborers working 16 hour days at 1 dollar an hour still cannot compete with a machine that works 24/7.

Vietnam might get some low margin spillover in textiles and the such, but they'll still be importing Chinese fiber and Chinese machinery.

 

[tower9]

Even many US plants operate with less IT and automation than Chinese companies. I don't think India can compete in manufacturing with China at all. Laborers working 16 hour days at 1 dollar an hour still cannot compete with a machine that works 24/7.

Vietnam might get some low margin spillover in textiles and the such, but they'll still be importing Chinese fiber and Chinese machinery.

Automation is really killing the ladder of development

 

[Arulmozhi Varman]

India isn't even a player in semiconductor. The number of players in semiconductor are tiny. Optics and chemicals, not as good as Chinese either. Mechanical manufacturing... this requires a ton of experience, see US, Japan and Germany. China is catching up only with decades of investment.

Did I say we are? I told India needs to concentrate on these sectors as well.....

 

[Viet]

Even many US plants operate with less IT and automation than Chinese companies. I don't think India can compete in manufacturing with China at all. Laborers working 16 hour days at 1 dollar an hour still cannot compete with a machine that works 24/7.

Vietnam might get some low margin spillover in textiles and the such, but they'll still be importing Chinese fiber and Chinese machinery.

Low margin you are funny. Xinjang farm workers only get $1 per hour may I ask why so low?

A bottle of pho costs more than $1.
That means Xinjang poor farmers can’t even afford pho.

 

[Yankee-stani]

India has the potential to match China but it will take a massive social and political revolution to do that. The CCP has basically turned China into the world's largest corporation, that's why it has immense resources under its power to meet the world's manufacturing needs.

Potential!!!! Potential!!! That's will always be the question mark India way to focused on their hatred of Pakistan that even the west and America find cringe and a distraction for being a counter to China as long as India is hell bent on Pakistan I doubt they will see a transformation

I think there will be some manufacturing going to India from China. But it is being overstated in the media. I think the ones that will go to India will probably already have incentives to do so whether it be access to the Indian market or being sensitive to political pressure.

Folks like Peter Thiel and Steve Bannon key Trump allies would support it but its likely for now low end manufacturing will go to Vietnam,BD,PH or Indonesia

 

[FairAndUnbiased]

Low margin you are funny. Xinjang farm workers only get $1 per hour may I ask why so low?

A bottle of pho costs more than $1.
That means Xinjang poor farmers can’t even afford pho.

I don't know if that number you give me is true. But Huawei engineers can make 6 figures USD equivalent. That puts you in the top 1% in Vietnam.

 

[Nilgiri]

but its likely for now low end manufacturing will go to Vietnam,BD,PH or Indonesia

The other 3 I can kind of understand, but BD?

70 billion market cap was anemic to begin with (compared to their GDP and population) and then they rekt it down to 30 billion in short space of just a year through sheer incompetence and refusal to reform. 40 billion....gone! whoosh! at this low level.

Then went silent about it all....because this is all serious lost leverage to actually roll out any serious red carpet for anything new.

So yeah, nope. No one is dieing to give them a 0% tariff pass like with RMG....so no hope for BD. Maybe it can work to get 3 patents in the USPTO for the first time ever in one year.....given most they managed so far is 2.

Meanwhile stuff happening in India big time. Guess you can see for yourself later.

After all 2+ trillion market cap has a draw all in itself. Built on IT, pharma, automotive and construction....it will expand to more. No need for atrocious foreign debt cycles and inflation laundering (based on that).... when you have domestic leveraging of scale.

 

[Viet]

I don't know if that number you give me is true. But Huawei engineers can make 6 figures USD equivalent. That puts you in the top 1% in Vietnam.

Huawei has no future.
How can the company sell smartphones outside China with no western features and technology? No google? No android?
How will Huawei grow if it is only allowed to sell cheap non core telecom equipment? High priced Huawei engineers will soon look for another jobs.

I told here previously, and posted a video.
Here in Germany food prices are extremely cheap. People pay very little for foods. Discount supermarkets are everywhere. Thanks to cheap import of food ingredients from China.
China farmers pay the price. They earn very little.

 

[49savage]

There's no economies of scale in Vietnam.

A factory in China can assemble phones for Apple, Huawei, Xiaomi, Oppo, Vivo, etc. and has access to the MASSIVE Chinese market.

A factory in Vietnam assemble ONLY for Apple and may have restricted access to China.

A factory in China has unrestricted access to upstream components such as lithium-ion batteries, motherboards, OLED panels, etc.

A factory in Vietnam has to IMPORT all these things from China.

Who do you think has the advantage here?

Damnnnnn lol... China it is

 

[beijingwalker]

I told here previously, and posted a video.
Here in Germany food prices are extremely cheap. People pay very little for foods. Discount supermarkets are everywhere. Thanks to cheap import of food ingredients from China.
China farmers pay the price. They earn very little.

China is a net food importer, you may give thanks to US farmers.

 

[FairAndUnbiased]

Huawei has no future.
How can the company sell smartphones outside China with no western features and technology? No google? No android?
How will Huawei grow if it is only allowed to sell cheap non core telecom equipment? High priced Huawei engineers will soon look for another jobs.

I told here previously, and posted a video.
Here in Germany food prices are extremely cheap. People pay very little for foods. Discount supermarkets are everywhere. Thanks to cheap import of food ingredients from China.
China farmers pay the price. They earn very little.

Huawei owns the most 5G patents. anyone using the patents has to pay Huawei. Android Open Source Project is not Google Android. AOSP is free to use for anyone. Huawei also has the Chinese market. Just like how many US companies can get huge simply by selling to US market. Vietnam and Germany are both export dependent markets. China isn't. China has the same export dependence as the US.

China also isn't a food exporter.