Apple, which was singled out by the Trump administration earlier this year over its production practices, plans to take a further step to highlight its commitment to boosting investment in the U.S.
The tech giant will pledge to spend an additional $100 billion on domestic manufacturing, a move that could ease tensions between the tech giant and President Trump who wants iPhones built in the United States.
A White House official on Wednesday said Trump will announce a new manufacturing program aimed to bring more of Apple’s supply chain to the United States, confirming an earlier report from Bloomberg.
Apple’s commitment will increase the Cupertino-based company’s U.S. investment to $600 billion over four years as it seeks to avoid the cost of tariffs.
The company announced a $500-billion U.S. investment commitment in February.
Nonetheless, Trump in May criticized Apple for expanding iPhone production in India, threatening to hit the company with a 25% tariff.
Apple and other tech companies have touted their U.S. commitments, but analysts and economists have said shifting manufacturing to the United States could take years and result in higher prices for smartphones and other popular electronics.
Some analysts have said it would take at least five years for Apple to shift production to the U.S. and the prices of iPhones could reach $3,500 if the smartphone was made in America.
The iPhone 16 Pro is made up of roughly 2,700 parts sourced from 187 suppliers in 28 countries, according to an April report from TechInsights.
As companies look to keep costs down and consumers watch their budgets, tariffs add another wrinkle to efforts to slash spending.
Taylor Rogers, a White House spokesperson, said in a statement, that the Trump and Apple’s announcement is “another win for our manufacturing industry that will simultaneously help reshore the production of critical components to protect America’s economic and national security.”
This week, Trump said he was doubling tariffs on India to 50%, stating in an executive order that the country’s government “is currently directly or indirectly importing Russian Federation oil.”
Apple didn’t respond to a request for comment.
The move marks the latest apparent effort by Apple to show its commitment to hiring U.S. workers.
Last month, the smartphone leader announced the opening of its Apple Manufacturing Academy in Detroit. The program begins Aug. 19 and offers free workshops on artificial intelligence and advanced manufacturing to small and medium-sized businesses.
Apple has more than 450,000 jobs with thousands of suppliers and partners across all 50 states.
While Apple designs its products in California, it also relies on a global supply chain involving various countries including China, Vietnam and India.
Apple is already spending more because of Trump’s tariffs. Last week, Apple Chief Executive Tim Cook said during an earnings call that the company has incurred roughly $800 million in tariff-related costs. Apple expects $1.1 billion in tariff-related costs in the fiscal fourth quarter ending in September.
