Apple CEO Tim Cook is scheduled to join President Donald Trump on Wednesday at the White House for an announcement of what the administration calls a new $100 billion investment commitment by Apple in the United States.
The event, set for 4:30 p.m. ET in the Oval Office, will unveil Apple’s new “American Manufacturing Program,” a White House official confirmed. This commitment brings Apple’s total U.S. investment over the next four years to $600 billion.
Context of Apple’s Manufacturing Strategy
Most of Apple’s flagship iPhones are manufactured in China, though the company has been shifting some production to India. President Trump has repeatedly urged Apple to bring manufacturing back to the U.S., arguing that American production would be more beneficial despite the potential increase in product prices.
In May, Trump reportedly told Cook, “We’re not interested in you building in India, India can take care of themselves … we want you to build here.”
On Wednesday, President Trump announced a doubling of the U.S. tariff rate on Indian goods to 50%, citing India’s continued purchase of Russian oil as the reason.
Earlier this year, Trump exempted smartphones, chips, and other tech products from his April reciprocal tariff plan, which imposed a 10% baseline duty on most imports and higher rates on several countries.
This exemption remains in effect even with the recent tariff increase on imports from India.
Author’s Opinion
Apple’s new $100 billion pledge reflects a strategic commitment to bolster its U.S. presence amid increasing trade tensions and pressure to reshore manufacturing. However, moving production domestically is complex and costly, potentially raising product prices and supply chain challenges. While the investment signals confidence in the U.S. market, balancing cost, efficiency, and political expectations will be key to Apple’s success in this endeavor.
Featured image credit: Heute
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