Trump Says Apple and Intel Reach Deal on US Chip Design and Manufacturing Partnership
President Donald Trump announced a deal for Apple to partner with Intel on U.S.-based chip design and manufacturing, causing Intel's stock to surge 9%. The move aligns with the administration's policy to onshore semiconductor supply chains and helps Apple diversify from its reliance on Taiwan's TSMC. The deal marks a significant win for Intel's revived foundry business under CEO Lip-Bu Tan.
Apple-Intel chip manufacturing deal
▪The partnership helps Apple diversify its manufacturing base away from its heavy reliance on Taiwan's TSMC.
▪U.S. President Donald Trump announced that Apple has agreed to partner with Intel to design and manufacture its chips in the United States.
▪The contract with Apple provides Intel with steady demand and boosts the reputation of its manufacturing business.
▪The Wall Street Journal reported in May that Intel and Apple reached a preliminary deal after more than a year of discussions.
Intel stock surge
▪Intel's stock rose 9% in premarket trading on Thursday, June 18, 2026, following President Trump's announcement.
▪Over the past 12 months, Intel's stock has surged 464%, reaching a market capitalization of $608.7 billion.
▪Apple's stock increased by 0.6% in premarket trading following the news of the Intel partnership.
Intel CEO turnaround strategy
▪Intel CEO Lip-Bu Tan is credited with reviving interest in the company by securing investments from Nvidia and the Trump administration.
▪Intel's new 18A manufacturing technology has entered its initial production phase.
▪The "TeraFab" project is the first major external commitment for Intel's foundry business, which previously only made its own chips.
▪Intel is also manufacturing chips for Nvidia and collaborating with Elon Musk on his "TeraFab" factory project.
Trump administration semiconductor policy
▪Apple's current primary chip supplier, TSMC, is experiencing high demand from AI companies like Nvidia and AMD.
▪In 2025, the Trump administration took a 10% stake in Intel and announced plans to invest approximately $10 billion for U.S. factory expansion.
▪In a Truth Social post, President Trump stated he helped Intel because "we need to design and build our Chips right here in America."
▪The Trump administration has been working to secure U.S. supply chains for semiconductors to reduce reliance on China.
Semiconductor sector performance
▪The PHLX Semiconductor Sector Index, comprising the 30 largest U.S.-traded chip companies, has increased by 90% in 2026.
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