World’s Largest iPhone Assembly Plant Resumes Hiring Despite Tariff Uncertainty

It was a tough week for many electronics players involved in shipments to the US or China. In anticipation of higher tariffs on Chinese-made products entering the US, Apple-owned manufacturers paused to consider expanding capacity outside the latter country, but the lull allowed Foxconn to resume hiring at its largest iPhone assembly plant.

Image Source: Apple

It is still based in the Chinese city of Zhengzhou, as the South China Morning Post reminds us. The company usually hires new workers regularly, but did not do so last week due to the uncertainty surrounding the threat of higher tariffs in the United States. In normal times, hiring is continuous throughout the year, with seasonal spikes as needed.

Although Foxconn’s Zhengzhou facility resumed hiring this week, its labor needs have still been reduced. Advertisements say the company is willing to hire workers for three months at $2.70 an hour. Other Chinese Apple electronics companies have been holding off on hiring since April 7, after U.S. President Donald Trump announced “retaliatory tariffs” and China responded.

Huatai Securities experts estimate the possible impact of customs tariffs on the growth of production costs not as radically as many of their colleagues. According to them, after the previously announced duties come into force, the cost of each Apple smartphone sold in the US will have to increase by $240. Even if the entire increase is transferred to the shoulders of buyers, the cost of an iPhone in the US will increase by 24% at most.

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