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Trump and Lutnick urged Apple’s Tim Cook to use Intel fabs

Trump and Lutnick urged Apple’s Tim Cook to use Intel fabs

Apple won an exemption from 100% semiconductor tariffs after agreeing to shift some chip production to Intel’s U.S. facilities as part of a broader $600 billion domestic investment plan.

Fact Check
The WSJ article directly states the Trump administration urged Tim Cook to use Intel's fabs for chip production and that Apple secured a tariff exemption alongside a large US investment pledge, matching the core claim. AppleInsider independently corroborates, citing the WSJ report and Trump's confirmation that Apple would source Intel chips. The core assertions—Trump/Lutnick pressure on Cook, tariff exemption, shift of some production to Intel, and a large US investment plan—are all supported. The only minor uncertainty is the exact $600 billion figure (AppleInsider references a '$500+ billion' investment), but this is broadly consistent and does not undermine the claim's substance.
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Summary

Apple secured an exemption from President Trump’s 100% tariffs on imported semiconductors after agreeing to move some chip production to Intel’s U.S. manufacturing facilities, following direct negotiations involving CEO Tim Cook, Trump and Commerce Secretary Howard Lutnick. The arrangement forms part of Apple’s broader commitment to invest $600 billion in the United States over four years. Trump announced the 100% semiconductor tariffs in August 2025, while also allowing exemptions for companies that committed to U.S. manufacturing. A preliminary Apple-Intel manufacturing agreement was reached around May or June 2026, with production ramp-up expected to take two to three years, meaning the deal’s full effect may not be felt until 2028 or 2029. Apple also expanded its domestic chip strategy beyond Intel through a partnership with Broadcom worth more than $30 billion for U.S.-made chip production. That agreement is expected to produce 15 billion chips and create hundreds of jobs. The Intel dimension also fits into a wider administration effort to support the chipmaker, which received roughly $8.9 billion to $9 billion from the U.S. government for about a 10% equity stake under the CHIPS Act in August 2025.

Terms & Concepts
  • fabs: Semiconductor fabrication plants where chips are manufactured
  • CHIPS Act: A U.S. industrial policy program aimed at expanding domestic semiconductor production
  • semiconductor tariffs: Import duties imposed on chips brought into a country