US President Donald Trump said in a Truth Social post on Thursday that Apple has agreed to work with Intel to design and manufacture its chips in the United States.

A partnership with Intel helps Apple diversify its manufacturing base as it seeks additional chip capacity. The iPhone maker relies heavily on TSMC, whose advanced production lines are in high demand from AI chipmakers such as Nvidia and AMD.

Intel reached a preliminary deal to make some chips for Apple after more than a year of discussions, the Wall Street Journal reported in May.

Apple and Intel did not immediately respond to a Reuters request for comments outside regular business hours.

An Apple contract gives Intel a steady demand from one of the world’s largest consumer electronics companies, boosting both its reputation and a manufacturing business that has lagged TSMC in recent years.

Earlier this week, Intel said a new generation of its manufacturing tech 18A has entered its initial production, as the chipmaker sees strong demand for its central processors.

Last year, the Trump administration took a 10 per cent stake in Intel and announced plans to invest roughly $10 billion in the chipmaker to build or expand US factories.

Trump previously said he “should have asked for more” of a stake in Intel, eight months after the government’s Intel position grew to be worth more than $50bn.

The administration has been stepping up efforts to secure US supply chains for critical minerals and semiconductors, including taking equity stakes in companies to reduce reliance on China.