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Apple announces additional $100 billion investment in the US

President Trump reveals 100-percent tariffs on chips during the announcement.

August 6, 2025 at 11:26 PM
blur Apple to invest extra $100bn in the US as Trump announces tariffs on chips

President Trump announces new tariffs on chips while Apple pledges major investment in the US.

Apple commits an additional $100 billion to US amid tariff announcement

President Donald Trump announced a plan to impose 100-percent tariffs on imported chips and semiconductors at a White House event with Apple CEO Tim Cook. This announcement coincided with Apple's commitment to invest an additional $100 billion in the United States, raising its total anticipated investment to $600 billion over the next four years. Trump praised Apple's decision, calling it the largest investment the company has ever made domestically. He also emphasized that companies building within the US would be exempt from the new tariffs. Concerns have emerged among experts that these protectionist measures could lead to higher prices for consumers and hinder US trade.

Key Takeaways

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Apple's total US investment now reaches $600 billion over four years.
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Trump's tariffs on chips may lead to higher prices for consumers.
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Experts question the feasibility of manufacturing all iPhones in the US.
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Apple shifts focus from China to India for assembly amid trade tensions.
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The investment reinforces Trump's vision of reshoring technology production.
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Stock prices surged by 3.8 percent following the investment announcement.

"This is the largest investment Apple has ever made in America and anywhere else."

Trump emphasizes the significance of Apple's commitment in the context of economic policy.

"We believe the concept of Apple producing iPhones in the US is a fairy tale that is not feasible."

Analyst Dan Ives challenges the feasibility of Trump's goal regarding manufacturing.

"Everything's down. Price is down. The only thing that's up is stock prices."

Trump's dismissal of media concerns about rising costs during the tariff announcement.

"You’ve been a great advocate for American innovation and manufacturing."

Tim Cook commends Trump for fostering a favorable environment for companies.

The latest developments underline a complex interplay between corporate strategy and political maneuvering. Apple's significant pledge, framed as part of Trump's America First policy, comes amid fears of increased consumer costs and disruption in supply chains. While the administration positions this investment as a sign of economic progress, experts argue that the realities of manufacturing logistics may clash with political ambitions, raising questions about feasibility and long-term sustainability. The potential ripple effects on stock prices and consumer goods are yet to be fully understood.

Highlights

  • Apple's investment shows commitment to US manufacturing.
  • Trump claims costs are down as trade tensions rise.
  • Is Apple's investment enough to shift manufacturing back home?
  • Manufacturing realities clash with political promises.

Potential economic risks from new tariff policies

Trump's tariffs on chips may lead to higher consumer prices and trade tensions with international partners. Experts warn of possible backlash from consumers and industry stakeholders if prices rise significantly.

As companies navigate mounting pressures from tariffs, their adaptability will be crucial in the coming years.

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