Apple once made their Cylindrical Mac Pro in Texas and they won't be coming back because of a new 25% Tariff
Yesterday afternoon Patently Apple posted a report titled "President Trump denies a Tariff Waiver for Apple Parts made in China while Telling France they'll be hit hard for GAFA Tax." Our report was based on President Trump's tweets. Today we're providing you with video clips of what the president said in full on both matters.
Yesterday President Trump talked with the press from the oval office about a series of issues including a reciprocal tax the U.S. will impose on French wines in the coming days or weeks for France's GAFA tax going into effect against Google, Apple, Facebook and Amazon. He also spoke about an Apple plant in Texas.
President Trump on Apple: "Well, I want Apple to build their plants in the United States. I don't want them to build them in China. So when I heard that they're going to build in China I said it's okay you could build in China but when you send your product into the United States we're going to tariff you. But we'll work it out. A man I have a lot of liking for and respect is Tim Cook and we'll work it out. I think that they're going to announce they're going to build a plant in Texas. And if they do that, I'm starting to get very happy."
Apple had been making the Mac Pro in Texas back in 2013 and shut down with the lame reasoning that they couldn't get enough screws. Considering that Apple didn't sell many cylinder-styled Mac Pro's, it was clearly an excuse for closing production in the U.S.. They could have bought screws from China for a dollar a bucket. More than likely Apple's contractor Flextronics pulled the plug on Apple for a lack of Mac Pro orders.
We have begun manufacturing the Mac Pro in Austin. It’s the most powerful Mac ever. Orders start tomorrow. pic.twitter.com/Jrd1Gic3Ya— Tim Cook (@tim_cook) December 18, 2013
Will the new U.S. tariffs pressure Apple to return to Texas to manufacture their latest Mac Pro? Don't count it. The original plant in Texas was run by Flextronics. They likely wouldn't support a second crack at a plant making the Mac Pro again with the cost of the new Mac Pro being insanely higher.
So while President Trump would like a plant in the US for making the Mac Pro, there isn't going to be enough volume to ever justify one for that product alone.
On Taxing French Wine: U.S. President Donald Trump said on Friday the United States would hit France shortly with a ''reciprocal'' tax, likely on French wine, because of the French parliament passing legislation on July 11 to tax U.S. tech companies, primarily Google Apple, Facebook and Amazon (know as the GAFA tax).
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