For China, Bullying Apple Suppliers Might Backfire Badly

China’s shock investigation into Apple provider Foxconn, a key hyperlink within the iPhone provide chain, could also be meant to ship a message. The one Apple and its suppliers really obtain may do China extra hurt than good.

Chinese language authorities have launched tax and land-use probes into subsidiaries of Foxconn, formally referred to as Hon Hai Precision Trade, the corporate confirmed final week. That’s shocking since Foxconn, which is the world’s largest contract electronics producer, has lengthy had an amicable relationship with China—and is likely one of the largest employers within the nation.