Apple’s stock is having a good day following word of a US-China trade agreement in the works, and temporary pauses on most tariffs. President Trump called Apple CEO Tim Cook to discuss the news, per CNBC, here’s what he shared with reporters afterwards.
Kif Leswing writes at CNBC:
“I spoke to Tim Cook this morning, and he’s going to, I think, even up his numbers,” Trump said in the Oval Office. ”$500 billion, he’s going to be building a lot of plants in the United States for Apple. And we look forward to that.”
Apple previously said in February it would spend $500 billion to expand many of its operations in the U.S., including assembling artificial intelligence servers in Houston.
It’s not very clear what the first part of Trump’s statement—“even up his numbers”—was referring to.
It may have been a reference to Apple moving to reduce its dependence on China for manufacturing of the iPhone and other products.
Perhaps it’s simply referring to the China tariff pause helping Apple out financially.
In any case, Trump’s claim regarding Apple’s $500 billion investment may be more interesting.
When Apple first announced its US investment plans back in February, the only concrete announcement that could be tied to building plants involved the Houston facility CNBC references.
From Apple’s press release:
Apple and partners will open a new advanced manufacturing facility in Houston to produce servers that support Apple Intelligence, the personal intelligence system that helps users write, express themselves, and get things done.
Other allocations of the $500 billion ranged from creating a Michigan academy to train US manufacturers, bulking its R&D workforce, and committing more to its Advanced Manufacturing Fund that supports domestic projects.
9to5Mac’s Take
It’s not out of the question that Apple may have nascent plans for building new plants that Cook and Trump have discussed privately.
More likely though, until Apple shares something different publicly, it’s safe to assume the company will continue its strategy of doing most manufacturing overseas.
Even as it seeks to increase diversification outside of China, countries like India are expected to benefit from expanded manufacturing far more than the US.
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