Tim Cook named the main condition to start iPhone assembly in the U.S.

Apple CEO Tim Cook has said the company is willing to consider moving iPhone production to the US – but it needs a key technological condition to do so. According to U.S. Commerce Secretary Howard Lutnick, Cook said that Apple needs an advanced robotic assembly system that can deliver precision and scale of production comparable to what China offers today.

Apple CEO Tim Cook said that the company would be willing to consider moving its iPhone production to the U.S., but that it would need to do so at a scale comparable to what China offers today.

Robots instead of cheap labor

As Cook explained, without automation, iPhone assembly in the U.S. is simply unprofitable. Right now, the main production is located in Shenzhen, China, where sources say workers are paid between $3 and $3.70 an hour. In the U.S., even the federal minimum wage – $7.25 an hour – is more than double that. That would mean either a sharp rise in the price of the iPhone or serious cuts in Apple’s margins.

The use of industrial robots would allow Apple to avoid this conflict. According to Cook, “you need robotic arms that provide the scale and precision you need.” Until that level of automation is achieved, Apple can’t move production without sacrificing efficiency.

At this point, Apple can’t move production without sacrificing efficiency.

Trade wars and exemptions for Apple

The interest in localizing production in the US has become particularly relevant amid the trade wars that have unfolded under the Donald Trump administration. The US imposed tariffs of up to 145% on imports of goods from China, including electronics. However, Apple managed to avoid some of the fallout: iPhone was temporarily exempted from the tariffs, thanks in part to the relationship between Cook and Trump.

Despite their differences, Cook remains one of the few tech leaders whose opinions Trump listens to. The partnership helps Apple protect its interests in a strategically important market.

Perspectives and Realities

Minister Lutnick expressed confidence that iPhone production will still come to the U.S.

“Tim wants to build factories here, and he will. But Americans won’t be assembling iPhones by hand. They’ll be running robotic factories.”

So far, this statement seems like optimistic prediction rather than a concrete plan. Automation technology is indeed advancing, especially with the advent of AI, but building a fully autonomous production line is not a one-year endeavor.

Cook is right: without advanced robotics, the iPhone in the U.S. is either a dream or an overpriced reality. But if the government gives the industry time to evolve, the U.S. could change the rules of the game in global electronics manufacturing.

The article Tim Cook names key condition to start assembling iPhones in the US was first published on ITZine.ru.