You might have to wait to buy the next iPhone because of the China-Taiwan debacle? Wondering how a potential trade war between the two countries can affect iPhones productions? This is because although China assembles the iPhones, the chipsets are made in Taiwan where China is policing on the former on various grounds thereby potentially throttling the throughput of iPhones produced eventually.
China-Taiwan Trade War Could Delay iPhone 14 series
You heard about Nancy Polesi, Speaker at the U.S. House of Representatives, in Taiwan, right? Well, it all started after Nancy waa spotted in Taiwan. The situation may turn for worse since Pegatron’s vice president and some of the top executives from Taiwan’s TSMC were spotted during Nancy’s meet as well. Apparently, China doesn’t wants Taiwan to call itself Republic of China and the Chinese Communist Party is playing is oppose of it.
To understand the chronology, iPhones are assembled at Pegatron, Winstron, Foxconn among others in China. The chipsets for iPhones are developed by TSMC which is a leading chipmaker in Taiwan. As per the latest restrictions, Taiwan cannot use “Made in Taiwan”, “Chinese Taipei” or “Republic of China” on some of its products. Customs at China are already checking out shipping documentations of any incoming cargo for these references which will be eventually sent back to Taiwan causing unwanted delays by straining the supply chain.
Apple has asked Taiwan’s TSMC to refrain from using any of the tags mentioned above in order to steer clear of the debacle between the two countries. It’s not just Apple but companies like Microsoft are on the radar too as they get their products assembled in China with inputs from Taiwan for some of the components.
Just a few days ago, report started floating that Apple is firing Foxconn’ Indian manufacturing unit to produce iPhone 14. In fact, it is estimated to reach the levels of Chinese Foxconn unit at some point of time thereby breaking the production records in the country. Understandingly, this is a well-timed move by Apple to cope up with the surge in production that it was face since we basically a few weeks away from iPhone 14 series launch.
