REUTERS/George Frey - A new Apple iPhone 5S sits against boxes of phones at a Verizon store in Orem, Utah September 19, 2013.

Blog Post | Advanced Industries Series

Foxconn Sends a Manufacturing Message with New Pennsylvania Plant

November 25, 2013, Mark Muro and Scott Andes

Last week international electronics mega-manufacturer Foxconn announced plans to invest $30 million in a new robotics plant in Harrisburg, PA. Foxconn, the notorious Chinese low-wage manufacturer of Apple’s iPhone, has become the poster child of U.S. outsourcing in the face of ruinous global labor cost competition. The calculus of manufacturing supremacy is seemingly simple: Low labor costs and taxes, proximity to a large consumer base, and manageable corruption levels equal a sure strategy to attract global firms.