Apple Inc is to move some production of its Mac Mini desktop computer to the US from Asia, with a new manufacturing effort set to begin later this year at a Hon Hai Precision Industry Co (鴻海精密) facility in Houston, Texas, the Wall Street Journal (WSJ) reported on Monday.
The site comprises two main buildings, one currently used by Hon Hai, also known as Foxconn Technology Group (富士康科技集團), for assembling Apple’s artificial intelligence servers and the other, a large warehouse, which would be converted into a 20,438.68m2 Mac Mini production area, the WSJ reported.
The plan is the iPhone maker’s most recent US investment, following its commitment announced in August last year to invest US$600 billion in the country over the next four years.
Photo: Reuters
In May last year, US President Donald Trump had threatened Apple with a 25 percent tariff on products manufactured overseas, a sharp reversal from earlier policy when his administration had exempted smartphones, computers and other electronics from rounds of tariffs on Chinese imports.
The production of Mac Minis would continue in Asia, Apple chief operating officer Sabih Khan told WSJ, adding that the facility would meet local demand as the US assembly line ramps up.
The company feels more confident projecting long-term demand for the Mac Mini, which is more popular than the Mac Pro, Khan added.
Apple is also expanding the Houston facility to include a new training center for advanced manufacturing, the report said.
It was not immediately clear whether Apple plans to scale down production in its Asia facilities.
Apple has a mixed track record when it comes to following through on investment promises.
In 2019, Apple chief executive officer Tim Cook toured a Texas factory with Trump that was promoted as a new manufacturing site. However, the facility had been producing Apple computers since 2013, and Apple has since moved that production to Thailand.
Apple continues to manufacture most of its products, including iPhones and iPads, in Asia, primarily in China, although it has shifted some production to Vietnam, Thailand and India in the past few years.
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