In 2011, then-President Barack Obama pressedApple CEO Steve Jobs about movingiPhone production to the U.S. Fourteen years later, President Donald Trump is reintroducing the idea to Tim Cook, Apple’s current CEO.

But this idea shows a complex reality of global supply chains and large economic and operational interests that are difficult to dismantle, where Apple is not just facing a political dilemma or a high tariff, but a solid wall of logistical and economic challenges.

From the skilled labor gap and the high cost of production in America, to its reliance on a complex and interconnected Asian supplier network.

In this report, we reveal why the idea of manufacturing the iPhone in America faltered, and explain why Apple is sticking with China, despite the political headwinds.

China’s logistical fortress

China’s appeal for electronics manufacturing goes beyond the cost of cheap labor, which has risen significantly over the years.

The real advantage lies in the large quantity and specialized quality of skilled labor and professional expertise, especially in the advanced manufacturing tools and precision production required for complex devices like the iPhone, which China has developed over decades.

China has an extensive and integrated electronics assembly network with thousands of suppliers and partners, providing immediate access to a wide range of components and materials, allowing for rapid sourcing and efficient delivery to factories.

Foxconn’s iPhone City, which employs hundreds of thousands of workers, is an example of this integrated and customized industrial infrastructure, including factories, housing, and support services in one location.