The White House is expected to announce a new contract as early as Wednesday.
According to the White House, Apple has pledged $100 million for US manufacturing and focused on building more jobs nationwide.
The investment is expected to be announced on Wednesday.
White House economic adviser Kevin Hassett said Apple is likely to announce its investments on Wednesday as it discussed financial pledges made by businesses and countries under President Donald Trump.
“They’re moving in a lot here. This is a trillion dollar and trillion dollar commitment for people to build a new factory here. In fact, you’re likely to see it from today,” Hassett said in an interview with Fox Business Network.
Hassett did not go into further detail.
The investment will help move a major portion of Cupertino, California to the US, the supply chain of California-based tech giant, Bloomberg News reported, but details were sparse.
“The Apple announcement today is another manufacturing victory and will at the same time help us reswim the production of critical components to protect America’s economic and national security,” White House news director Taylor Rogers said in a statement.
According to the White House, the president is scheduled to announce it in Washington at 4:30pm (20:30 GMT), and there were no details on the deal with the tech giant.
Latest Investment
Apple said in February that it would spend $500 million on US investments over the next four years. It said it would add a huge Texas factory for artificial intelligence servers and about 20,000 R&D jobs nationwide.
Apple has pledged multiple investments in the US over the past decade. In 2018, during Trump’s first term, the company pledged $3500 billion. In 2021, Apple announced a $4300 billion investment under former President Joe Biden.
The investment comes after Trump warned that if he didn’t move manufacturing efforts to the US, he would strike Apple with a 25% tariff. Analysts say such changes are not realistic.
Dan Ives of Wedbush Securities said it will take at least five to ten years to move production to the US. This means that consumers will also pay $3,500 for their iPhone.
“We believe that the concept of an Apple-produced iPhone in the US is an infeasible fairy tale,” Ives previously said.
Apple did not immediately respond to requests for comment.
In April, Apple announced plans to move the majority of calls it sells to the US to India by the end of next year to reduce its dependence on China as the US-China trade war heats up. But Trump’s rage now shifted to India, where he slapped the country with a 50% tariff on Russian oil imports. It is not clear whether the latest developments will affect Apple’s India plans.
Apple’s stocks skyrocketed with the coming US investment announcement. The company, which is trading under the ticker symbol Appl, has grown more than 3.8% since the market opened at 10:15am (14:15 GMT) in New York on Wednesday.
