Apple Commits $100 Billion to U.S. Manufacturing Amid White House Pressure and Tariff Threats

On Wednesday, Apple Inc. (AAPL) shares rose 6% during midday trading after reports indicated the company, led by CEO Tim Cook, would make a fresh $100 billion investment commitment. The announcement was expected to be made later in the day by President Donald Trump. This surge came even though Apple’s stock was down 14% year-to-date at the time. The news was part of broader U.S. equity market gains, with the SPDR S&P 500 ETF (SPY) up 0.68% and the Invesco QQQ Trust (QQQ) rising 1.02% as investors processed a series of corporate earnings reports throughout the day and week.

On Wednesday afternoon, the White House, with Apple CEO Tim Cook in attendance, plans to announce that Apple will invest an additional $100 billion in U.S. manufacturing. This decision follows ongoing pressure from President Donald Trump, who has called for Apple to increase American production of its products, including moving iPhone production to the United States.

The new commitment comes on top of $500 billion that Apple had already pledged earlier in the year for U.S. investment. The announcement is officially attributed to the Trump administration, with supporting statements from business leaders such as Nancy Tengler, CEO of Laffer Tengler Investments, who said: "Today's announcement is a savvy solution to the President's demand that AAPL manufacture all iPhones in the U.S."

Despite the investment, it is noted in the article that it remains highly unlikely Apple will relocate iPhone production to the U.S., as analysts warn this could lead to substantial price increases. The article suggests that Apple may be making the announcement in part to seek tariff relief for its products.

The news coincides with Apple reporting better-than-expected quarterly revenue and earnings, attributed to strong iPhone sales, partly due to customers accelerating purchases to avoid potential tariffs. Tim Cook will join President Trump at the White House for the official announcement of this new investment.

Apple Inc. announced on Wednesday that it will invest an additional $100 billion to expand its operations in the United States. The announcement came as President Donald Trump declared his intent to impose large import taxes on internationally made semiconductors and chips.

The announcement was made during an Oval Office event that included both President Trump and Apple CEO Tim Cook. President Trump stated, "if you're building in the United States, or have committed to build, without question, committed to build in the United States, there will be no charge," in reference to the proposed semiconductor tariffs. Trump did not specify the exact timeline for the imposition of these tariffs but emphasized that U.S.-based production would be exempt.

Tim Cook thanked President Trump, referencing Apple's earlier $500 billion U.S. investment, and said, “But he also asked us to think about what more we could commit to doing, and Mr. President, we took that challenge very seriously.” Cook acknowledged that assembling iPhones entirely in the United States remains a future goal, but the current focus is on manufacturing components domestically.

A significant part of the new $100 billion investment will be the launch of an American Manufacturing Program aimed at relocating more of Apple’s supply chain to the United States. The program will initially involve Apple’s suppliers such as Corning, Coherent, GlobalWafers America, Applied Materials, Texas Instruments, Samsung, and Broadcom. Apple stated that it intends to create a domestic supply chain for its chips through this program, expecting to produce more than 19 billion chips for its products in 2025. Chip production will occur across 24 factories in 12 states.

“I’m proud to say that Apple is leading the creation of an end to end silicon supply chain right here in America, from design to equipment to wafer production to fabrication to packaging,” Cook said during the event.

Immediate results include the creation of the American Manufacturing Program, expanded U.S.-based production facilities, and the involvement of major Apple suppliers in the domestic chip fabrication process.

On Wednesday, Apple announced a new $100 billion investment aimed at expanding its operations within the United States. The announcement was made at an Oval Office event attended by President Donald Trump and Apple CEO Tim Cook. This move comes in response to pressure from President Trump, who has urged Apple to increase domestic production and threatened high import tariffs on chips manufactured abroad.

President Trump stated, "if you're building in the United States, or have committed to build, without question, committed to build in the United States, there will be no charge," in reference to the proposed semiconductor tariffs. Tim Cook thanked the president and remarked, "President Trump shared some kind words about that work," referring to Apple's previous $500 billion investment in the US. Cook added, "he also asked us to think about what more we could commit to doing, and Mr President we took that challenge very seriously." Cook also acknowledged that fully assembling iPhones in the US remains unlikely for now, but the company will focus on manufacturing iPhone components stateside.

As part of the new investment, Apple will launch the American Manufacturing Program, intended to move more of the company’s supply chain to the US. Suppliers involved in the program will include Corning, Coherent, GlobalWafers America, Applied Materials, Texas Instruments, Samsung, and Broadcom. Apple expects to produce over 19 billion chips for its products in 2025, manufactured in 24 factories across 12 states. "I'm proud to say that Apple is leading the creation of an end to end silicon supply chain right here in America, from design to equipment to wafer production to fabrication to packaging," Cook stated during the event.

The announcement adds to Apple's previous pledge of $500 billion toward US investment earlier in the year. The immediate result is the initiation of the American Manufacturing Program and a reinforced focus on domestic supply chains, with the White House indicating the move may be connected to potential relief from tariffs for Apple and its suppliers.