Apple will be investing another $100 billion in bringing its operations to the U.S., per an announcement from CEO Tim Cook and President Donald Trump Wednesday.
The tech giant already committed in February to a $500 billion investment expanding its presence in the U.S., part of a raft of large companies announcing large American investments as Trump began rolling out his tariff agenda.
“American innovation is central to everything we do,” Cook told reporters. “Our products are designed here. We are hiring and growing here. We support 450,000 jobs with thousands of suppliers and partners in all 50 states.”
The news comes as Trump continues ratcheting up tariffs on U.S. trading partners around the world. Trump has raised tariffs on other countries partly for economic reasons – to generate revenue for the U.S., to spark a renaissance in American manufacturing and to balance trade relations that have, according to the president, unfairly disadvantaged the U.S.
The investment is “more than ever before, it’s never even come close,” according to Trump. “There’s never been anything like it. Even you, that’s even a lot of money for you,” he quipped to Cook.
But the president is also using higher tariffs as a geopolitical tool to weaken global aggressors like Russia, whose assault on Ukraine hasn’t relented. Earlier Wednesday, he issued an executive order slapping India with an additional 25% tariff for buying Russian oil, which he sees as fueling the Kremlin’s war on Ukraine. Apple will reportedly be exempt from the hike.
As Trump announced initial figures for reciprocal tariffs in April, he also issued a memorandum exempting smartphones from reciprocal tariffs, but that doesn’t mean Apple and Samsung have been exempt from the president’s tariffs altogether.
Apple estimates that the taxes on imported goods cost the company $800 million in its second quarter and will cost an additional $1.1 billion by October. Most of Apple’s products are manufactured in China, Vietnam and India. However, the company also reported its largest quarterly revenue growth since December 2021 at the end of July, according to CNBC.
The president has also directly pressured Apple and Samsung to move more of their manufacturing to the U.S. or risk larger tariffs on their sector.
“For years, Americans have watched as many of our leading tech giants built their factories overseas and exported American jobs abroad, but under the Trump administration, we’re doing everything possible to make this the best place on earth to build a factory or grow businesses,” Trump said.
Apple’s $500 billion investment included plans to double its U.S. Advanced Manufacturing fund, build a new factory in Texas and start a manufacturing academy in Detroit, “accelerated investments in AI and silicon engineering” and team and facility expansions in Michigan, Texas, California, Arizona, Nevada, Iowa, Oregon, North Carolina and Washington.
Its $100 billion commitment includes “the ambitious new American Manufacturing Program, dedicated to bringing even more of Apple’s supply chain and advanced manufacturing to the U.S.,” according to a press release. “Through AMP, Apple will increase its investment across America and incentivize global companies to manufacture even more critical components in the United States.”
“This is the largest investment Apple has ever made in America, and anywhere else, and it’s just an honor to have you,” Trump said to Cook. “They’re coming home.”
