Foxconn mulls expansion of American operations
Foxconn has confirmed that it is indeed engaged in preliminary talks regarding more investment in its operations in the United States, the Wall Street Journal reports. President-elect Trump had been making brazen statements regarding bringing manufacturing back to the US since the start of his campaign. After winning the election, Trump claimed to have talked with Apple CEO Tim Cook on the phone and that Cook had been receptive to what he had to say, according to transcripts published by the New York Times.
It might not have been Trump's doing alone—Foxconn had explored the idea of expanding into the US back in 2014—but it's a safe bet that the President-elect's talk of revamping corporate tax codes and providing tax breaks didn't hurt. Apple had been engaged in feasibility studies since Trump's statements began, and had reportedly requested that Foxconn look into manufacturing in the US, according to the Nikkei Asian Review. Foxconn Chairman Terry Gou had made his opposition to the move clear in November, and was quoted by the same source as saying "the cost will more than double". It sounds like there will have to be either some very substantial tax breaks for all companies involved—or else Apple's prices will get even more expensive.