Comment by TigerofTao
Comment by TigerofTao 2 days ago
This is troubling news, as we could soon be paying $2,500 for an iPhone within the next three years. The original reason for outsourcing was to keep costs down, and now, with this trade war, it's clear consumers will bear the burden.
While some may see the return of manufacturing to the U.S. as a win for national pride, the reality is more complex. The high cost of U.S. labor, combined with excessive bureaucracy, leads to higher production costs, which ultimately get passed on to consumers. There's nothing inherently beneficial about manufacturing in the U.S. other than symbolic gestures tied to identity politics.
Most consumers want affordable, high-quality products, not overpriced goods that may be touted as "Made in America" but offer no real value beyond that label. Instead of focusing on where products are made, the priority should be on ensuring that they are durable and not part of a system of planned obsolescence. We want iPhones that last longer, not cost more, yet U.S. manufacturing may drive up prices without offering real improvements in quality or longevity.
Unfortunately, the consumer is losing in this scenario—stuck paying for rising costs while receiving little in return. We need to reassess the real benefits of domestic manufacturing and whether they justify the inevitable price hikes. It’s clear that without a shift in strategy, we're moving toward a future where innovation is stifled by political posturing and unnecessary cost inflation.
Chip manufacturing is critical for national security, which is to say world security, if you like the Pax Americana (and you should). This is not some trade war thing. My only actual concern about this is that it may make the US less willing to intervene if the CCP invades Taiwan, and we absolutely should intervene if that happens.