Apple’s $500 Billion US Investment Is Its Biggest Power Move Yet In The Trump Tariff Wars

Companies like Apple invest in various companies and initiatives to help advance their technologies and interests. Now it looks like Apple’s next investment is going to be huge, and it’s good news for those living in the US. According to a report from Bloomberg, Apple has confirmed that it will be investing $500 billion in the US market, which will help create a ton of new jobs.

According to Apple, the company will be pumping $500 billion into the US market over the next four years. This investment will create a new server manufacturing facility in Houston and a supplier academy in Michigan. It also covers additional spending with its existing suppliers in the US. In the process, the company estimates that it will hire as many as 20,000 new workers.

Apple’s CEO Tim Cook said, “We are bullish on the future of American innovation, and we’re proud to build on our long-standing US investments with this $500 billion commitment to our country’s future. We’ll keep working with people and companies across this country to help write an extraordinary new chapter in the history of American innovation.”

This is part of Apple’s initiative to bring more of its production and manufacturing facilities back to the US. Recently, US President Donald Trump said that Apple will be moving the manufacturing of its products in Mexico to the US. However, as much as this sounds like a win for job seekers in the US, it’s not exactly an altruistic move.

Escaping tariffs

The US and China are currently in a trade war. Many tech giants, such as Apple, rely heavily on China. This is because manufacturing in China is a lot cheaper compared to manufacturing products back home in the US. However, under Trump’s administration, he has imposed tariffs on products imported from China.

This could result in very high import taxes for US companies that bring in a lot of products from China. However, we recently heard that companies such as Tesla and Apple could be exempt. Or at least pay a lower amount of tariffs. Unsurprisingly, those perks come with strings attached.

It has been speculated that one of the reasons Apple has agreed to invest $500 billion in the US to create new jobs and facilities is to escape these tariffs. Now, $500 billion is no small amount to sneeze at. However, perhaps Apple thinks that staying in Trump’s good graces and escaping these tariffs could be worth the investment.