Foxconn, world’s leading manufacturer of computer components and systems, is expected to provide services in the future to help Apple sell products in China and will ship Apple products directly from its plants to the domestic market.
Foxconn and Apple also have reached an agreement with China’s customs authorities and already started directly shipping a small amount of products to the China market in September 2013. Since China has already become a major market for the IT industry, Apple has been aggressively trying to expand its presence in the country. But Apple needs support, and it is expected to rely on Foxconn to help it provide logistic and after-sale maintenance services in China.
The direct shipments will reduce import taxes, and may reduce the prices for Apple products in China. In addition to China, Foxconn has also been trying to copy such a direct shipment business model to other countries such as Indonesia and Brazil.
Foxconn was established in 1974 and has grown to become the largest ODM in the world with nearly 1,000,000 employees and revenues in excess of USD 100 billion. Foxconn’s customer base includes many famous brands in computing, communications and consumer electronics, for example; Apple, Cisco, Dell, HP, Nokia and Sony. With expertise in design and manufacturing, Foxconn’s Channel Division is able to bring barebones and component products to channel customers around the globe, giving them the freedom to create their own solutions. To learn more, visit: www.foxconnchannel.com.