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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