Jun 11, 2019

Foxconn: iPhones can be made outside of China if trade war worsens

iPhone XS Max. Photo: Spencer Platt/Getty Images

iPhone assembler Foxconn says it has the capacity to manufacture Apple products outside of China if U.S.-China trade relations escalate, Bloomberg reports.

Why it matters, per Axios' Ina Fried: Nearly all iPhones are currently made in China, presenting a huge risk for Apple. Having a solid plan B is a good thing given the unpredictability of U.S.-China trade relations.

Driving the news: President Trump has threatened China with new tariffs on $300 billion worth of Chinese goods — which would inevitably affect Apple — if President Xi Jinping is a no-show at the upcoming G20 summit.

Backdrop: Apple is already feeling the effects of China's slumping economy. The company had to mark down its Q4 revenue expectations in January, attributing it in part to the ongoing trade war.

  • Foxconn, also known as Hon Hai Precision Industry Co., is Apple's most important manufacturer.
  • Board nominee and semiconductor division chief Young Liu said in an investor briefing in Taipei on Tuesday that the company will support Apple if it decides to move production, though no decisions have been made.
  • It's unclear which manufacturing plants would assume the majority of the company's relocated production. India's facility is currently running quality tests for Apple's iPhone XR series, per Bloomberg.

Go deeper: Corporations are fleeing global chaos

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Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 5 p.m. ET: 652,079 — Total deaths: 30,438 — Total recoveries: 137,319.
  2. U.S.: Leads the world in cases. Total confirmed cases as of 4 p.m. ET: 116,505 — Total deaths: 1,925 — Total recoveries: 921.
  3. Federal government latest: President Trump is considering a quarantine on New York, parts of New Jersey and Connecticut. He signed a $2 trillion stimulus bill to give businesses and U.S. workers financial relief.
  4. State updates: Alaska is latest state to issue a stay-at-home order — New York is trying to nearly triple its hospital capacity in less than a month and has moved its presidential primary to June 23. Some Midwestern swing voters that supported Trump's handling of the virus less than two weeks ago are now balking at his call for the U.S. to be "opened up" by Easter.
  5. World updates: In Spain, over 1,400 people were confirmed dead between Thursday to Saturday.
  6. 🚀 Space updates: OneWeb filed for bankruptcy amid the novel coronavirus pandemic.
  7. Hollywood: Tom Hanks and Rita Wilson have returned to U.S. after being treated for coronavirus.
  8. What should I do? Answers about the virus from Axios expertsWhat to know about social distancingQ&A: Minimizing your coronavirus risk
  9. Other resources: CDC on how to avoid the virus, what to do if you get it.

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Infant dies after testing positive for coronavirus in Chicago

Hospital staff working inside a COVID-19 screening tent in Chicago on March 26. Photo: Jim Vondruska/NurPhoto via Getty Images

An infant less than one year old died in Chicago, Illinois after testing positive for the novel coronavirus, the state health department said on Saturday.

Why it matters: The death would mark the first reported infant mortality from COVID-19 in the U.S. The fatality rate for the novel coronavirus in the U.S. is highest among those over 85 years old, per the CDC.

Go deeperArrow23 mins ago - Health

Trump weighs quarantine of New York, New Jersey, Connecticut

Data: The Center for Systems Science and Engineering at Johns Hopkins; Map: Andrew Witherspoon/Axios

President Trump said on Saturday he is considering a "short term" quarantine of New York, New Jersey and parts of Connecticut — states that have already taken steps to quarantine residents and promote social distancing.

The big picture: With 112,000 people infected, the U.S. has the most COVID-19 cases in the world, exceeding China and Italy, per data from Johns Hopkins. A second wave of American cities, including Boston, Detroit, New Orleans and Philadelphia, are reporting influxes of cases.

Go deeperArrowUpdated 40 mins ago - Health