Shoebat.com warned that India is going to be the next major hub of manufacturing, and not because it is necessarily a better place, but because the US is choosing her for this since she wants to prepare India to go to war with China. The COVID-19 crisis has provided the perfect excuse for the US to label China as a dishonest nation who cannot be trusted and is a threat to US safety to continue manufacturing in. Since China is wholly dependent on the US for consuming her products, the US moving production to another nation will economically destroy China since she will have no buyer for her products. This is the exact same strategy that Wal-Mart used to corner US and foreign manufacturers and rise to the expanse of power that she has.
Trump has already talked about moving to India, and companies for several years have been quietly relocating operations to the Hindu subcontinent, but now according to INC42, these operations are preparing to speed up as Apple has declared that one-fifth of her IPhone production is being moved directly to India from China.
Global tech giant Apple is reportedly looking to move nearly a fifth of its iPhone and other electronics production capacity from China to India to get benefits under the Indian government’s production-linked incentives (PLI) scheme, which was recently announced to incentivise local handset manufacturing and exports.
With this move, Apple is planning to produce iPhones worth $40 Bn through its contractors Foxconn and Wistron, and essentially diversifying its production out of China, and set India as a base for manufacturing and export. The move is in line with Apple’s plans to reduce its reliance on China as a manufacturing hub as it looks to dodge the negative impact of the US trade tariffs as well as the current coronavirus pandemic, which had forced all production in China to come to a halt.
Currently, Apple sells iPhones worth $1.5 Bn in India, of which less than a third are locally manufactured. Whereas Apple is a top investor in the manufacturing sector in China and produced merchandise valued at $220 Bn in China in the financial year 2018-19. According to an Economic Times report, Apple senior executives have held several rounds of meetings with top-ranking government officials over the last few months. (source)
Some people may see this as an American “victory” over China. However, this is not a victory for anybody. This is a preparation for war, and in a war, nobody wins because it is not the wealthy who fight, but they send the common man to fight and die for them.
This is just one more step on the long march toward it.