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China only makes $8 from an iPhone – and that's why Trump's trade war is futile

3 pointsby teaman2000almost 7 years ago

1 comment

sddfdalmost 7 years ago
I don&#x27;t think it is about the $8.<p>Previously, China outsourced social and ecological cost of producing iPhones and other technology. That outsourcing is not covered in the price.<p>Recent political changes in China such as environmental requirements cut the key profit: the outsourcing.<p>If the US has the choice to either have a factory in China, or have a factory with roughly the same standards at home, the trade-offs are different: you might want the jobs at home then (given that the wages are competitive, which they currently are not).