Apple launched New MacBook Pro M2 on June 24. When compared with the appearance it has no difference with M1. Appearance is the same as compared with the previous one. But it has internal changes that amuse the users. Apple promises to give a stunning performance of the 13-inch MacBook Pro.

Furthermore, Apple is deciding to launch 4 new iPhone 14 this year.

China is the greatest hub for the production of Apple products. A total of 90% of Apple production depends on china. China is the only country that affords production to that large extent. Apple is the most renowned brand worldwide and it is dependent on China for the past few decades.

Supply Chain disruptions in China

Due to the pandemic, firms and companies have to face supply chain disruptions. Everyone is facing a downfall, and China is the most affected country by covid. Even after strict policies on covid again, cities of China were hit by the pandemic. Working places and firms were shut down due to the pandemic.

These supply chain disruptions would affect the supply of iPhones and MacBook desktops. Shipments would be delayed over months. Shipments that were expected to deliver in March were delayed to July.

Shanghai Production Plant

Quanta is the sole supplier of Apple products in China. China was again hit by the virus. The 2 main cities Shanghai and Yunnan were also facing curfew conditions. Everything will be closed there. So the supply of iPhones or MacBooks was affected. With the shutting down of the Shanghai plant, deliveries of MacBooks were delayed.

China is following strict covid policies. These strict policies would impact the sale of MacBooks and that's an alarming situation for Apple.

As the demand for MacBooks or iPhones is still not affected. This condition will be worse in the 3rd quarter of 2022.

Shifting Of Production Plants From China

Establishing a relationship between China and the US is not an easy task. But any other country has the stamina to handle this large-scale production. China has Manpower liability and advanced technologies that not any other country has. Although Apple is a US-based Company, it is completely relying on China.

Depending on one country will create troubles for Apple Inc. Harsh Guidelines of China regarding COVID-19 would create great trouble for company owners and investors. According to news, Apple is shifting its plants to India and Vietnam.

According to reports, about 20% of Apple products shifting from China to India have been completed.

Effect Of Trade War on APPLE

The Trade War started in the 1980s under TRumps presidency. Trump creates tariffs and hurdles in the trade, which creates a situation of war between two powerful states.

By the end of Trump's Presidency, it would declare a failure. The Trade War between China and the US would impact different sectors, but Apple is the most affected by this war. It is because of two main reasons. Firstly, iPhones were primarily assembled in China. And the second thing is China is the biggest smartphone manufacturing market.

Does Apple Work Without China?

Apple Inc is a company that prefers reliability over money. They insisted upon the long-term use of products, and they believe in saving renewable energy resources.

Apple Inc says that they don't rely on China and they have a global supply chain but, in real terms, Apple would solely depend on China.

Delaying shipments would create a headache for the company. Since 2016 Apple spent 275$ in China. This huge amount is for business purposes.

Issues created by Covid were temporary, if Apple had to maintain its popularity and liability, then it is necessary to remain in touch with China.