Apple's Production Move Back to the U.S.: Just Politics or a Real Shift?

Updated

In the following video, Motley Fool analyst Lyons George talks about the reasons behind Apple's plans to manufacture some of its Mac computers on U.S. soil, beginning with a $100-million investment that will start in 2013.

By looking at the amount of the investment, we can conclude that it's only a toe-in-the-water move by Apple as opposed to a major change in its complex global supply chain, which is heavily concentrated in China.

Another reason for this announcement may be Apple's efforts to shift attention off their famously high margins from partner companies, like Foxconn (PINK:FXCNY), toward an "at home production" concept.


There is also evidence that such a decision may be more than just a political move by Apple; labor costs in China are on the rise, and last year's tsunami forced companies to reconsider their decisions to produce goods far from their markets. But only time will tell if Apple will decide to bring more production back to the U.S.

In this video, Lyons George discusses the reasons behind Apple's decision to invest $100 million in the manufacturing of their products in the U.S. There's no doubt that Apple is at the center of technology's largest revolution ever, and that longtime shareholders have been handsomely rewarded with over 1,000% gains. However, there is a debate raging as to whether Apple remains a buy. The Motley Fool's senior technology analyst and managing bureau chief, Eric Bleeker, is prepared to fill you in on both reasons to buy and reasons to sell Apple, and what opportunities are left for the company (and more importantly, your portfolio) going forward. To get instant access to his latest thinking on Apple, simply click here now.

The article Apple's Production Move Back to the U.S.: Just Politics or a Real Shift? originally appeared on Fool.com.

Lyons George has no positions in the stocks mentioned above. The Motley Fool owns shares of Apple. Motley Fool newsletter services recommend Apple. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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