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Apple tries to buy its way out of tariff trouble

Posted on February 25, 2025February 25, 2025
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Apple has announced a massive investment of USD$500B over the course of the Trump presidency with investments in several US states. While the company continues to negotiate with the US government over proposed tariffs,  it plans to massively boost investment and jobs in its home country.

Try as we might at Australian Apple News, it can be almost impossible to unravel politics from what’s happening in the world of tech. But it’s hard to see how this announcement is not a response to what is happening in US politics. With President Trump announcing significant tariffs on imported goods, Apple has found itself vulnerable to potentially massive price increases on its products.

Even if Apple was able to manufacture an iPhone 100% within the country is sold, the components are made in dozens of countries. And that could lead to significant increases for Apple’s products in the USA. Presumably, Apple would raise prices globally to ensure there’s global price equity – something it does now by heading on currency rates and other means.

Apple says its investment will include:

…work with thousands of suppliers across all 50 states, direct employment, Apple Intelligence infrastructure and data centers, corporate facilities, and Apple TV+ productions in 20 states.

Apple notes that is supports about 2.9M jobs and pays a healthy slab of tax including USD$19B in the USA last year. Too bad it finds way to not pay a full slab of taxes in Australia.  

Anthony Caruana

Anthony is the founder of Australian Apple News. He is a long-time Apple user and former editor of Australian Macworld. He has contributed to many technology magazines and newspapers as well as appearing regularly on radio and occasionally on TV.

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