Back in January, GOP front-runner Donald Trump made headlines in the tech industry by declaring that once he becomes president, he would force Apple to fully manufacture its devices in the United States.
The statement received polarizing reviews from analysts and the general public. As the presidential election draws near and more candidates jump in on the All-American iPhone manufacturing bandwagon, it is time to see how Apple's most popular device would be affected if it gets created within the United States.
One thing that current politicians seem to have neglected to notice is the fact that the parts from Apple's iPhone actually come from various countries. Thus, even if the U.S. President were to impose a ruling that would force Apple to fully manufacture its phones in the country, the transportation costs of each of the iPhone's components would ultimately affect its selling price.
In fact, Apple currently utilizes parts from 766 suppliers, with only 69 of them coming from America. Almost half of the number, 346 to be exact, come from China. Another 126 come from Japan and 41 are found in Taiwan. Even Corning, an American firm which manufactures the iPhone's front, has facilities in Asia.
Apart from the fact that most of its parts actually come from other countries, iPhones are assembled in low-cost factories in mainland China, where labor is much cheaper. Once Apple transfers the assembly of the iPhone, the price of the device would be raised yet again, due to the United States' higher wages. Couple that with the impending minimum wage increase in a number of states, and the iPhone would most probably end up becoming far more expensive than it already is now. According to analysts, the average price of the iPhone might end up about $50 more when all its components, as well as its manufacturing process, is done within the country.
The next president of the United States could actually force companies such as Apple to fully manufacture their devices. However, in such a scenario, consumers must be ready to pay the price.