Apple says it’s increasing its investment in US production by another $100 billion over the next four years.
The company said Wednesday in a wide-ranging announcement that was leaked early by the White House that it will expand to $600 billion total its commitment to hire more US workers and expand some of its manufacturing across 10 states.
Apple CEO Tim Cook joined President Donald Trump at the White House on Wednesday to unveil its American Manufacturing Program, which includes plans for 100 percent of its development of cover glass for its iPhone and Apple Watch products in Kentucky in partnership with Corning. Apple plans to commit $2.5 billion to that product effort alone.
“Every new iPhone and every new Apple Watch sold in the world will contain cover glass made in Kentucky,” Cook said. iPhone cover glass is already being made at Corning’s Harrodsburg, Kentucky, manufacturing facility, though it’s not clear when 100% of the IPhone glass will be made there.
The Apple CEO said that the company plans to create an end-to-end silicon supply chain in the US, increasing the amount of chip design, manufacturing and packaging in the United States.
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“American innovation is central to everything we do,” Cook said. “We’re growing and hiring here. We support 450,000 jobs with suppliers and partners in all 50 states.”
In the announcement, Apple reiterated what it previously said in February: that it was also planning to hire 20,000 US workers over that four-year time period.
Trump praised Apple and Cook in particular, calling him a “visionary” moments before questioning his athleticism.
The president repeated his assertion that there will be 100% tariffs on semiconductors imported from other countries.
“I think the chip companies are all coming back home,” Trump said. “If you’re building in the United States or committed to build without question, there will be no charge.”
The manufacturing of smartphones in the US has other ties to the president. When the Trump Organization announced the launch of a Trump Mobile service in June, it promised a gold phone called the T1 that would be manufactured entirely in the US. Those claims were later walked back after it was revealed the $499 phone’s specifications appeared to be similar to one made overseas for T-Mobile.
Apple’s shifting strategy
Apple has been shifting the way it produces its products this year in response to the steep tariffs against countries where it manufactures most of its flagship products such as iPhones. While Apple and other major technology companies don’t make smartphones in the US, some assembly of products using components made overseas can be done in the US.
The company has moved some production from China to countries including India and Vietnam to bypass tariffs and to reduce its reliance on China’s extensive manufacturing supply chains. Smartphone-makers have been facing tariffs as steep as 25% and Apple is trying to avoid price hikes on its products. The company is gearing up for the launch of the iPhone 17 in September.
During the press conference, Cook was asked about the possibility that Apple could manufacture an entire iPhone in the US. Cook said that some components are made domestically and assembly can be done in the US, but stopped short of promising an entire device made in America.
Trump said that Apple’s supply chains have been in place for while.
“We may incentivize them,” he said, but suggested he was optimistic that an all-US-made iPhone could happen “one day.”
Apple’s announcement included news of partnerships with companies that include Texas Instruments, Broadcom, Applied Materials, TSMC and others. Some of those efforts will include increased chip development and manufacturing domestically.
The company has also opened up a new factory that produces servers for the company in Houston. It will gear up for mass production next year. Apple said those servers will help with its Apple Intelligence efforts.