In this case, smartphones from Cupertino will not be taxed as goods imported from China.
The iPhone collector Foxconn began building a plant in Vietnam. Most likely, Apple smartphones in the future will be assembled there. Reports about it 9to5mac .
The United States and China are waging a trade war. Because of this, the President of the States Donald Trump may impose a VAT of 10% on goods imported from China. In this case, the iPhone will rise in price, and this will adversely affect the company’s revenues.
Moving the assembly of Apple smartphones to Vietnam will protect them from possible taxation. In this case, they will be considered as goods produced in Vietnam.
Recall, Foxconn is located in China. Older iPhones are also manufactured in India and Brazil.