Back in 2012, it was a Big Deal when Apple decided to assemble the Mac Pro in Austin, Texas. Fast forward seven years, and now that Apple will manufacture the new Mac will be built in China, according to the Wall Street Journal. Apple has partnered with Quanta Computer Inc, a Taiwanese contractor, to build the computer at a factory near Shanghai. One reason is that it is much cheaper for the Cupertino to source components, as many of its suppliers are located near Shanghai. While it's true that few are likely to buy the $ 6,000 Mac Pro, the decision does have some significance as Apple's history and the current trade is with China goes. Back in 2012, Apple CEO Tim Cook plans to partially manufacture and assemble the desktop computer in the U.S. In a Bloomberg interview, citing it as evidence Apple was willing to invest $ 100 million in American manufacturing.
That Time Apple's Manufacturing Plans Got Screwed
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Read more Read  That venture didn't go so well. Turns out, manufacturing in America came with some hiccups. First, the U.S. machine shop Apple contracted to build a custom screw was only able to deliver a limited capacity of 1,000 screws per day. Staffing was also an issue. The Texas factory only had one person in charge of securing materials, whereas, in China, there are plenty of skilled workers to fill that need as there is a higher demand for similar positions. Also, the Journal reports Apple was unprepared for the fact that 80 percent of workers at Austin were contract workers being paid minimum wage for eight-hour workdays. That meant they were home when their time was up, leaving production lines stalled until the next shift. Not an issue in China, where some manufacturers have zero reservations about continually working their staff under exhaustive conditions.
Apple did not respond to Gizmodo's request for comment.
Apple's reported decision to move Mac Pro production back to China comes at a moment when trading benefits when between the country and the United States are close to boiling over. Apple is reportedly looking to shift 15 to 30 percent of its production capacity outside to southeast Asia in light of the Trump administration's current trade crusade against China and potential tariffs.
In the past, President Trump has needled Apple to bring more manufacturing jobs to to the US, that one point he erroneously boasted that he was gonna cook to promise to build "big plants, beautiful plants" on American soil. The news is likely to make Trump happy, but it never knows what stories will make it onto his TV, so it's possible he'll never find out.
That said, workers at the Texas factory are expected to continue with their employment. Apple hired Flex Ltd, a contractor, to assemble the Mac Pros. Demand has lost since the earlier Mac Pro models, and the Journal reports workers in Texas have moved onto refurbishing computers — on top of jobs for other companies, including HP.
[Wall Street Journal]